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Komatsu and UMW to establish a JV sales company

Published by , Assistant Editor
Global Mining Review,

Today, Komatsu Ltd. (Komatsu) and UMW Corp Sdn. Bhd. (UMW), a Malaysian distributor of Komatsu equipment, have agreed to establish a joint-venture (JV) sales company and have signed the formal contract. The new company is to become a subsidiary of UMW, and Komatsu will acquire a 26% equity stake thereof. 

According to Komatsu, UMW has sold Komatsu’s construction and mining equipment in Malaysia for over fifty years.

The new company will be strategically positioned to strengthen its marketing and product support operations, and further expand both sales and profits in the construction and mining equipment business. 

Establishment of the new company is expected to have a minimal effect on Komatsu’s consolidated business results.

In addition to Malaysia, UMW also engages in the distribution business of construction and mining equipment in Singapore, Myanmar, Papua New Guinea and Brunei. The new company plans to manage all distributors in these countries. 

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