OKI Electric Industry, Co., Ltd. has agreed to transfer OKI Group’s precision small motor business to MABUCHI MOTOR CO., LTD. Accordingly, the business transfer will reach completion by July 1, 2025.

OKI launched its small motor business in 1966. In 1998, it established Oki Micro Engineering Co., Ltd. (OKI Micro Engineering) as a company specializing in the business. Since its founding, OKI Micro Engineering has developed, manufactured, and sold general-purpose stepping motors. In addition, it also engages in various application products and dedicated actuators to meet specific customer needs.

To further strengthen the business, OKI had been exploring the possibility of collaboration or partnerships with partners. For that reason, it has considered Mabuchi Motor for this endeavor.

Taps Potential Synergies

Headquartered in Matsudo-shi, Chiba, Mabuchi Motor is a manufacturer and supplier of small motors. Specifically, its compact, lightweight, and high-efficiency DC motors play key role in a wide range of fields. Among them, automotive electrical components, home appliances, power tools, residential equipment, precision instruments, and office equipment. The company aims to expand its business domain and enhance corporate value through M&A and partnerships.

Thus, OKI and Mabuchi Motor reached an agreement on this business transfer based on the recognition of the potential synergies. Particularly,  by combining OKI Micro Engineering’s product lineup and technological capabilities centered on stepping motors and other high-reliability products with Mabuchi Motor’s technologies, sales channels, and customer base.

The agreement will drive product development and marketing. Thus, leading to the creation of new businesses and the growth of existing businesses.

As part of this transfer OKI Micro Engineering will establish in May 2025 a new company. Specifically, OKI M･E Co., Ltd., will take over its gas business, equipment business, amusement business, and Adachi Protechno Co., Ltd., a manufacturing subsidiary. All shares of the new company will be transferred to Mabuchi Motor by July 1, 2025.

Meanwhile, current employees will continue to be employed at the new company. OKI Micro Engineering’s overseas subsidiaries, Oki Micro Engineering (HK) Co., Ltd. (sales and procurement subsidiary) and Oki Micro Engineering (DG) Co., Ltd. (manufacturing subsidiary) with its manufacturing-related assets, will also go to Mabuchi Motor’s overseas subsidiaries. Accordingly, the transfer agreement presupposes approval by the relevant authorities.

08 July 2024