Agilent Technologies Inc. and Yokogawa Electric Corp. announced that their joint venture, Yokogawa Analytical Systems, became a wholly owned Agilent subsidiary effective Feb. 1, 2006. Yokogawa will receive approximately $106 million from this transaction, including $98 million from Agilent for its 49-percent share in the joint venture and $7.5 million in dividends from Yokogawa Analytical Systems.
Yokogawa Analytical Systems was founded as a joint venture in 1992 by Agilent (51-percent owner) and Yokogawa (49-percent owner). Yokogawa Analytical Systems makes the ICP/MS, an advanced analytical system used in gas chromatography for laboratory and other scientific applications.
With the foundation of the joint venture, Agilent transferred its sales and support of advanced laboratory analytical systems to Yokogawa Analytical Systems; Yokogawa transferred all of its laboratory business, including equipment under development, to the joint venture. The two parent companies have been supporting Yokogawa Analytical Systems not only to further their own business interests, but also to realize the growth and success of their joint venture.
Agilent and Yokogawa said that the joint venture had achieved its original objectives set 13 years ago. In order to expand the market presence for its products and services in Japan, Agilent decided that the timing was right for Yokogawa Analytical Systems to become a wholly owned subsidiary.