Edison-based Fuji Electric Corp. of America has announced that it has acquired a majority share of Canadian rail manufacturer SEMEC Electro-Mecanique Inc. in order to expand its transit business in North America and broaden its product lineup with the manufacturer’s railway vehicle door opening and closing equipment. Fuji Electric plans to leverage SEMEC’s engineering strengths, sales channels and service capabilities, adding to its own Transit business which is comprised of door opening and closing devices, propulsion, and auxiliary power supply devices.
“SEMEC has a solid reputation for manufacturing quality products, and they are a well-rounded company skilled at everything from development, to production, to sales,” said Philip Charatz, president and CEO of Fuji Electric Corp. of America. “This business model will complement our Transit business nicely and will support our long-term growth initiatives in North America.”
The two companies solidified an agreement for Fuji Electric to purchase 51 percent of SEMEC and the deal was completed in February. Fuji Electric will add its own technological capabilities in design and production engineering to SEMEC’s designs for door opening and closing devices in order to enhance its overall product offering. Fuji Electric will also benefit from SEMEC’s manufacturing subsidiaries in New York in order to strengthen its bidding position on projects under the Buy American Act guidelines, and other similar laws and regulations in New York. Fuji Electric has an extensive delivery record of its railcar door opening and closing devices, including the New York City Transit Authority, Metropolitan Washington D.C. Department of Transportation, Sonoma Marin Area Rail Transit District, and more. The power electronics manufacturer has also supplied Washington subways with auxiliary power units.
“This acquisition, coupled with our recent opening of a 37,000-square-foot factory in Virginia to develop auxiliary power supply devices for railways, is a testament to our strategic vision for our North American Transit business,” added Charatz. “We have an aggressive five-year growth plan and are committed to taking the major steps necessary to achieve those goals.”Related Articles: