Kiden Co., Ltd. (Takatsuki City, Osaka) completed an M&A transaction under which it transferred its business to JRC Co.,Ltd., a robot systems integrator, while maintaining employee employment, drawing on its longstanding strengths in designing and manufacturing labor-saving machinery. Before completion, the parties took time to reach a decision as they considered the transaction a way to address management challenges including a shortage of workers.
Kiden Co., Ltd. has designed and manufactured labor-saving machinery for more than 60 years since its founding, operating from its head office and plant in Osaka. In recent years, recruitment difficulties have become more serious, and the company decided to join the group of JRC Co.,Ltd., which operates a robot systems integration business. Takeshi Obata (小畑武史), Representative Director of Kiden, and Minoru Hamaguchi (浜口稔), Representative Director of JRC, discuss the path forward immediately after the transaction was completed. Against the backdrop of the absence of a successor amid a continuing recruitment gap, M&A became a realistic option to consider.