Fuji Medical Instruments to form capital tie-up with Taiwan partner Johnson Health Tech
TAIPEI, NNA - Japanese jewelry and healthcare provider Asahi Holdings Inc. will sell 60 percent of shares in its wholly-owned massage chair maker, Fuji Medical Instruments Mfg. Co., to its Taiwan partner Johnson Health Tech Co. to expand the subsidiary’s overseas business.
Asahi Holdings and Johnson Health Tech signed a basic agreement on Tuesday on a share transfer price of 6.7 billion yen ($61.6 million), the Kobe-based company said in a statement. Asahi Holdings will retain 40 percent of Fuji’s shares, and the subsidiary will become a joint venture with Johnson Health Tech after the share transfer, it added.
Johnson Health Tech, a provider of exercise equipment, has been the international sales agent for Fuji’s massage chairs, and the launch of the joint venture will help expand Fuji’s overseas business “by reciprocally leveraging the management resources of the two companies,” the statement added.
In early December, Asahi Holdings and Johnson Health Tech are expected to conclude a definitive agreement on the transfer being executed in early February, the statement said.
Asahi Holdings aims to use the new partnership to expand its global massage chair business to the United States, China and other countries, the statement said. Johnson Health Tech has 30 sales subsidiaries and more than 300 directly managed stores around the world.
The two companies will combine Fuji’s know-how on massage chairs and Johnson Health Tech’s product planning and artificial intelligence technologies, as well as capitalize on the Taiwan partner’s worldwide sales network, the statement said.
Johnson Health Tech, which begun selling the massage chairs in 2007, is the world’s number-three manufacturer of fitness equipment, according to its website.