(Adds company comment)
TOKYO Nov 13 Hitachi Ltd subsidiaries
Hitachi Metals Ltd and Hitachi Cable Ltd plan
to merge in April, creating a materials producer with businesses
ranging from automotive and electronics parts to fiber optics,
the Nikkei reported.
The merged Hitachi Materials company will have nearly 1
trillion yen ($12.6 billion) in annual revenue, the Japanese
daily said, adding that the companies will hold board meetings
on Tuesday to agree on the deal.
Hitachi Metals spokeswoman Akio Minami said nothing had been
decided, but confirmed the company was holding a board meeting
in the afternoon.
Hitachi Cable also it had a scheduled board meeting later in
the day, but could not comment on the report.
Hitachi Metals reported sales of 556.9 billion yen for the
year ended March 31, while Hitachi Cable's logged sales were
432.5 billion yen, the paper said.
Hitachi Cable, which makes electrical wires, semiconductors
and electronic materials, is bracing for the fifth consecutive
year of net loss, the daily said.
Hitachi Metals controls roughly 40 percent of the global
market for high-performance magnets used in drive motors for
hybrid and electric vehicles, the Nikkei said.
($1 = 79.4200 Japanese yen)
(Reporting by Mari Saito in Tokyo, Pallavi Ail in Bangalore;
Editing by Don Sebastian and Eric Meijer)