Switching positions, FERROTEC CORP., a Tokyo manufacturer of products based on ferrofluid (magnetic fluid) technology founded in part by FERROFLUIDICS CORP. in 1980, is buying its former Nashua, New Hampshire parent. The acquisition cost is around $36.2 million. Ferrotec, an independent company since 1987, had consolidated revenues of $53.3 million in the year through March 1999. Most of its business is in Asia. By buying Ferrofluidics, which reported sales of about $28 million for the year ending June 30, the Japanese company gains a worldwide distribution and marketing network as well as a broader range of products. Ferrofluidics manufactures all its ferrofluids and ferrofluid-based products in Nashua. It has sales and technical support facilities there as well as in Germany and the United Kingdom. Ferrotec's production facilities are located in Japan and China.
Water treatment system manufacturer MORIOKI INDUSTRY CO., LTD. is looking for a company to distribute its magnetic-field water treatment devices for plants and other industrial applications. Known in Japan as Mamoru-Kun, the system uses an electromagnetic field to coagulate and remove iron from water and to minimize concentrations of other impurities. It also prevents the buildup of scale and slime as well as rust. Beyond improving water quality, the system has several environmentally friendly benefits. It also is cost-effec-tive, the Tokyo supplier says. The device is expected to be priced from $12,300 in the United States.
As specified in their September 1998 tie-up agreement, CENTURY MEDICAL INC. has invested a total of $5 million in MICRO THERAPEUTICS, INC. The Irvine, California company manufactures minimally invasive devices for the diagnosis and treatment of vascular disease. Century Medical is its exclusive distributor in Japan (see Japan-U.S. Business Report No. 361, October 1999, p. 23).
An exchange rate of ¥106=$1.00 was used in this report. aaaaa