Agilent Acquires Its Analytic Joint Venture

Agilent Technologies Inc. (Palo Alto, CA, USA), and Yokogawa Electric Corp. (Tokyo, Japan) have announced that their joint venture, Yokogawa Analytical Systems, became a wholly owned Agilent subsidiary on February 1, 2006.

Yokogawa Analytical Systems was founded as a joint venture by Agilent and Yokogawa Electric in 1992. The company designed and produced measurement and control and industrial automation systems, including inductively coupled plasma mass spectrometry (ICP/MS) systems, which are analytic systems used in gas chromatography for laboratory and other scientific applications. Agilent and Yokogawa noted that the joint venture achieved its original objectives.

Agilent decided that it is the right time for Yokogawa Analytical Systems to become a wholly owned subsidiary in order to expand the market presence for its products and services in Japan. By selling its stake in the joint venture, Yokogawa Electric will be able to dedicate additional resources to its core businesses. The firm is receiving approximately U.S.$106 million for the transaction, including $98 million from Agilent for its 49% share in the joint venture, and $7.5 million in dividends from Yokogawa Analytical Systems.

Yokogawa Electric was founded in 1915 and is engaged in research and innovation. Its core businesses are industrial automation and control, test and measurement, information systems, and industry support.

"Yokogawa and Agilent have had a very strong, cooperative relationship over the past 13 years,” said Ryuji Kanno, president, Yokogawa Analytical Systems. "This acquisition of Yokogawa's minority share is a positive step for both companies.”



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