Suntory & Kirin - Streamlining overlapping technology after management integration

[2009, July 29]

Kirin and Suntory which are competitor in alcoholic beverages announced that they are planning to integrate their businesses in July 13. Their main purpose of M&A was to acquire overseas market. And they aggressively acquired overseas manufactures and distribution network. To compete in the global market, it is necessary to have a product development and proprietary technology which backed up by original technology.
We overviewed both companies’ technology by patent information. We divided into two groups. One is Tea extract in soft drink technology directly Brewery, catechin, fermentation, lactic acid, and related technology of gene. The other is the efficiency of production lines, inspection, packaging and container-related technology.
But Kirin and Suntory have been working both technical areas, in almost all these areas over the past 16 years. After the M&A, concentrate core technology which is strong point by both companies, to compete Nestle, PepsiCo and Coca-Cola in global market.
The technology of both companies is very similar. But the center of development separates more each year. One of the success points in the M&A is to share basic and core technology and focus on both companies strength in application technology and create technology portfolio which aims optimize overall.

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