GLOBAL | English
PRESS RELEASE
Air conditioning system for overseas
October 11, 2018
Fujitsu General Limited
18-V03-15
Making ABS Aircon Engineers in India into a Subsidiary
Accelerating Expansion of Commercial Air Conditioner Business in India – A Key Region in Our Mid-term Management Plan
Fujitsu General has signed an agreement with ABS Aircon Engineers Private Limited (hereinafter “ABS”) to invest in it (amount of our investment: 510 million rupees [approx. 867 million yen] / investment ratio: 52%). ABS is an HVAC contractor which is working on the design, construction and service maintenance of commercial air conditioners in India. We plan to complete the procedures to make ABS into our subsidiary in late October after undergoing the necessary procedures.
The commercial air conditioner penetration rate in the market in India is low in the same way as it is for household air conditioners. However, it is expected that this market will expand rapidly due to the development of infrastructure accompanying future economic growth.
ABS has developed a consistent business in India – from the design to the construction and service maintenance of air conditioning equipment. The firm possesses an extensive track record in office, commercial facilities, hospitals, factories and logistics facilities with a focus on large air conditioning systems such as chillers and air handling units.
We consider the “expansion of foreign commercial business” and the “capture and expansion of Indian market” as part of our five key “expansion projects” toward achieving our mid-term management plan. Currently, we have strong brand power with residential air conditioners in the air conditioning market in India. At the same time, we have also been developing commercial air conditioners for small and medium-sized buildings in recent years.
We are looking to promote sales of VRF (Variable Refrigerant Flow) and to expand our areas of operation in the market in India in the future. We will do this by leveraging our technological strengths and the abundant expertise in commercial air conditioning systems of ABS. We also consider the possibility of developing business to countries other than India in the future. We will achieve this through establishing a business model for commercial air conditioners by making ABS our subsidiary.
