Nisshin Steel Acquires 37.5% Share in Stainless Pipe Maker

Nisshin Steel acquired 37.5% share in Nippon Pipe System Co., which is Gunma based stainless pipe maker, and made the pipe maker 17th equity method affiliate to expand stainless flat steel sales and to develop downstream market. Nisshin Steel subscribed newly issued share by Nippon Pipe System, which increased the capital to 80 million yen. With the capital participation, Nisshin Steel tries to expand the stainless flat products and to develop new applications in the processing market as a part of the effort to shift higher valued products. Nippon Pipe System makes stainless pipe and processed products. The firm with 3.5 billion yen of sales and 200 of employees in 2005 tries to restructure the business and rebuild the profitability with support by Nisshin Steel.