Advantech Co Ltd (研華), the world’s biggest industrial computer maker, on Friday said that it had completed its acquisition of 80 percent of Omron Nohgata Co Ltd’s shares and renamed the Japanese unit Advantech Technologies Japan (ATJ).
Advantech signed an agreement with Omron Corp on Oct. 26 last year to purchase the 80 percent stake in its subsidiary for ¥1.836 billion (US$16.77 billion), with a plan to acquire the remaining 20 percent in March 2021.
Advantech has said it aims to expand its embedded system’s market share in Japan through the deal and enhance its localized manufacturing services capability there.
It considers Japan a strategic market for developing Internet of Things (IoT) business opportunities, the firm said.
Omron Nohgata was established in May 1966 in Nohgata in Fukuoka Prefecture, and focuses on original design manufacturing services for industrial electronic equipment.
“ATJ will be led by the current management team and will join Advantech’s embedded IoT business group in developing new products and integrating sales resources,” Advantech said in a statement.
The company said it expects the acquisition to help improve ATJ’s competitiveness and boost Advantech’s presence in Kyushu and other parts of western Japan.
It also envisions cooperation with Omron Corp in the IoT sector, Advantech said.
There are big opportunities in the industrial and IoT markets given the strong and advanced industrial demand, said Miller Chang (張家豪), president of Advantech’s embedded IoT group.
Japan-based industrial customers generate stable demand and moderate growth in embedded system markets, Chang added.
“The current core business of ATJ is design and manufacturing services for customers in sectors such as healthcare, the robotics industry and machine building,” Chang said.
“ATJ is to cooperate with Advantech Japan Co Ltd’s Tokyo office regarding sales organization, and leverage Advantech’s strength in centralized component procurement, embedded computing design-in capability and WISE-PaaS IoT platforms to expand their business scope,” he said.
WISE PaaS is an integrated cloud-enabled IoT platform, which allows customers to monitor and manage their production lines remotely and in real time, Advantech said.
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