- The merger will be effective October 1, 2026.
- Teijin Frontier will be the surviving company, with Asahi Kasei holding 20% and Teijin 80%.
- Hangzhou Asahikasei Textiles will transfer to Asahi Kasei Advance before the merger.
Merger Announcement
Asahi Kasei and Teijin Limited have agreed to merge Asahi Kasei Advance Corp. and Teijin Frontier Co., Ltd. The merger will be an absorption-type, with Teijin Frontier as the surviving entity, effective October 1, 2026.
Ownership Structure
Post-merger, Teijin Frontier will become a joint venture, with Asahi Kasei holding a 20% stake and Teijin holding 80%.
Strategic Rationale
The merger aims to combine the business platforms, sales networks, and customer bases of both companies to enhance competitiveness and drive sustainable growth. The integration is seen as a more promising path than independent growth for Asahi Kasei Advance.
Operational Changes
Hangzhou Asahikasei Textiles Co., Ltd., a subsidiary of Asahi Kasei in China, will be transferred to Asahi Kasei Advance before the merger takes place.
Financial Impact
The integration is expected to have an immaterial effect on the consolidated earnings of Asahi Kasei.
