Power tool manufacturer Hitachi Koki has revealed plans to change its corporate name to Koki Holdings Co., Ltd., in June next year.
Notably, the full line of power tools will be rebranded under the new name - HiKOKI (pronounced “hai-koh-key”) - with effect from 1 October 2018.
The move follows Hitachi Koki's acquisition by global investment firm KKR, via HK Holdings Co, earlier this year. The name changes are in line with the company’s ambitious international growth strategy, aimed at ensuring sustainable growth while expanding business in the nearly 100 countries in Hitachi Koki’s global network.
The Hitachi Koki is also establishing a subsidiary as its European HQ in the suburbs of Dusseldorf, Germany. Koki Holdings Europe GmbH reflects the strategic importance of the European market to the company and will commence operations in November 2017. It will carry out the parent company’s activities in Europe, with the aim to be closer to customers to facilitate faster decision made in managing their needs.
Aggressive sales target of US$2.7 billion in 2020
In a statement explaining the changes, the company said: "Hitachi Koki’s world-class advanced technologies have produced reliable and innovative products throughout its celebrated 70-year history, which serve as the basis for its new partnership with KKR, one of the world’s pre-eminent private equity groups. Through the new partnership, Koki Holdings is streamlining operations and accelerating investment in organic development and acquisitions to enhance its global businesses as a worldwide leading manufacturer."
Hitachi Koki President Osami Maehara added: “We have delivered award-winning innovation in manufacturing with solid business performance for over 70 years, and now is the time for us to focus on expansion as a truly global company while remaining rooted to our Japanese tradition. We have fully committed to accelerate growth alongside a dynamic new partner in KKR as we pursue our goal to become a global leader in power tools and life-science instruments. We have set an aggressive sales target of US$2.7 billion in fiscal year 2020. We are confident we can take our business to the next level with the support of all our employees and partners worldwide, and the revamping of the brand name is the first step to making this possible. We look forward to continuing to build a brand that exceeds the expectations of discerning customers around the world.”
New branding
The company explained the reasoning behind the new branding:
"The HiKOKI brand was created to embody the three core competencies of the company, including its innovative technologies that give rise to products with superior performance, the reliability of its products and services backed by a 70-year company history, and the potential for new business growth represented through the new partnership with KKR. For ease of pronunciation, the new brand name uses a lowercase “i” in its first syllable, and includes the implicit numeral “1” to express our commitment to providing our customers with the “No. 1” products on the market, and our aim to achieve “No. 1” global status.
"The new corporate name, Koki Holdings Co., Ltd., is designed to maintain continuity with our current name, while also reflecting the multiple brands it encompasses around the world, and accelerate our investment in acquisitions to expand our global business."
No changes will be made to the following brands in their respective markets: metabo, SANKYO, Tanaka, CARAT, HIT-MIN, himac.
