Hitachi Ltd finalized its acquisition of Joliet Electric Motors, LLC, a sales and maintenance service company of large motors in the North American market, on January 17. Going forward, Hitachi Industrial Products Ltd., which is engaged in the large industrial equipment business, will operate Joliet’s business.
Headquartered in Illinois, Joliet Electric Motors has been operational for 90 years, serving the energy and heavy industry sectors with robust repair and rebuild services.
Since 2002, Joliet has acted as a sales distribution partner for Hitachi Industrial Products in the oil drilling sector, and this strategic acquisition will facilitate a more extensive range of offerings.
Hitachi Industrial Products aims to capitalize on recurring business opportunities by boosting large motors’ sales and amplifying existing products’ service capabilities.
The integration of Joliet’s operations will reduce CO2 emissions via electrified product offerings and allow it to enter into the maintenance services for motors produced by third-party manufacturers.
This acquisition will also allow Hitachi to preemptively set up a local maintenance service infrastructure in anticipation of heightened maintenance needs for its installed base.
Jun Abe, Representative Executive Officer, Executive Vice President and Executive Officer, General Manager of Connective Industries Division of Hitachi commented: “I am very pleased to welcome Joliet to the Hitachi Group. The Hitachi Group aims to contribute to the realization of a sustainable society through its “Social Innovation Business,” which leverages its strengths in IT, OT, and products to solve customer and societal challenges. As global warming has progressed, the demand for electrification in various industries has increased towards achieving a decarbonized society, and motors, which are key products for this purpose, hold a strategic position for the Hitachi Group. In the future, together with Joliet, the Hitachi Group will strengthen and expand its recurring business in the energy market across the entire value chain of large motors and contribute to the preservation of the global environment by leveraging Hitachi Group’s digital technologies.”
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Keizo Kobayashi, President and Director of Hitachi Industrial Products said, “The first transaction between Joliet, which has been involved in the maintenance service business for large motors in the heavy industry sector in the North American energy market for 90 years, and Hitachi dates back to 1968. Both companies, connected through large motors, will leverage their respective strengths in the energy market from the transitional period to the energy transition. Hitachi Industrial Products will develop and manufacture high-efficiency electric products and sell them together with Joliet. Furthermore, by utilizing Joliet’s expertise in repair and rebuild, Hitachi Industrial Products will collect, analyze, and utilize operational data of the products to provide optimal equipment, thus establishing a recurring business cycle.”
Tim Tibbott, CEO of Joliet Electric Motors, LLC said, “We are thrilled to continue our 57-year collaboration with Hitachi, Joliet Team. I believe by working together, we can offer important electrification solutions and create value for our customers in the heavy industries and energy market. Furthermore, I want to express my gratitude to Argosy on behalf of the whole Joliet Electric Motors team. We appreciate the 16 years of unwavering leadership and support.
