Article: JFE, IHI ship units need more time on merger plan.(Shipping)

JFE Holdings Inc.’s shipbuilding unit, Japan’s second-largest by output, said plunging demand means it needs more time to assess a planned merger with IHI Corp.’s operations, 19 months after the tie-up was proposed.“We’d like to complete an assessment of the shipbuilding integration as soon as possible,” Shinjiro Mishima, chief executive officer of the Kawasaki, Japan-based unit, Universal Shipbuilding Corp., said in an interview. “But if we make the assessment too quickly we could also overlook a risk” of holding excess capacity when there isn’t enough demand, he said.JFE and IHI started talks in April last year to ...

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