Incorporating New Cosmos USA, Inc.
NEW COSMOS ELECTRIC CO., LTD. (Listed on JASDAQ under securities code 6824) is proud to announce the establishment of New Cosmos USA, Inc., its wholly-owned subsidiary in Chicago, U.S.A. Operations started from February 1 for marketing gas detectors and alarms in the U.S.
Background of establishment
The United States is the world’s biggest economic giant, leading industries in every corner of the world. The market for gas detectors and alarms is also enormous and since the 1980s, we have supplied the U.S. market with gas detectors and alarms for industrial use through our distributors.
In July 2016, following the takeover of Figaro Engineering Inc., FIGARO USA, INC. (a wholly-owned subsidiary of Figaro Engineering Inc.) joined our group of companies. This gave us easier access to U.S. market trends and in November last year, our battery-powered methane detector was adopted by Con Edison, a major energy company in New York State. As we considered it more necessary than ever to focus on the U.S. business development, we decided to establish a local subsidiary.
The newly-established local subsidiary, New Cosmos USA, Inc. will engage in the import and sale of gas detectors and alarms for industrial use and gas detectors and alarms for commercial use. We will also look into the potential for the sale of residential gas alarms. With increased sales, New Cosmos USA, Inc. aims to turn over US$16 million (approx. 1.8 billion yen) in the three years to end in fiscal 2021.
[Profile of New Cosmos USA, Inc.]
|Stakeholder||NEW COSMOS ELECTRIC CO., LTD. (100%)|
|Operations||Import and sale of gas detectors and alarms for industrial use and gas detectors and alarms for commercial use.|
|Local representative||Masahiro Kato|
|Employees||5 (including part-time director)|
|Start of operations||February 1, 2019|
* Masahiro Kato is general manager in charge of sales of Sales Department 2, Overseas Sales Division of NEW COSMOS ELECTRIC CO., LTD. He is to be seconded to New Cosmos USA, Inc. and stationed in the U.S. His post at New Cosmos USA, Inc. is CEO.