Capital Increase for MSSC MFG MEXICANA, S.A. DE S.V.
Company
2024/06/20
Mitsubishi Steel has decided to increase its capital for our group's spring business overseas subsidiaries, MSSC MFG MEXICANA, S.A. DE S.V. .
１．Background of the Capital Increase
Our group supports the deficit funds of overseas subsidiaries through parent-child loans and aims to achieve financial soundness and independence by increasing capital when there is progress towards achieving operating profitability.
MSSC MFG MEXICANA, S.A. DE S.V. has been recording losses for a long time. However, by progress in price improvements and an increase in production volume, the company's earnings have led to the prospect of achieving operating profitability.
Although we have provided financial support through loans from our company in the past, we have decided to strengthen financial structure and pursue further growth by implementing this capital increase. We will accelerate the transformation towards a sustainable profit-generating corporate structure.
２．Overview of the Capital Increase
Amount: Approximately 1.8 billion yen (estimated)
Implementation Period : June 2024
３．Impact on the Mitsubishi Steel Group due to the Capital Increase
By increasing the capital of MSSC MFG MEXICANA, S.A. DE S.V. and receiving repayment of the loans provided to them, we expect the impact on the consolidated performance and finances of the Mitsubishi Steel Group to be minimal.
Contact Us
Public & Investor Relations Department