Sumitomo Corporation (Head Office: Chiyoda-ku, Tokyo; President and CEO: Shingo Ueno) has signed a share purchase agreement and a shareholders agreement to invest in Epsilon Composite S.A.S. (Head Office: Bordeaux, France; CEO: Stéphane Lull; hereinafter “EC”). The investment was completed after obtaining the necessary approvals from the authorities.

Background and Future Development of the Investment

Sumitomo Corporation has been supplying carbon fibers to EC and other European companies for more than 30 years since the early days of the carbon fiber market, and possesses knowledge and networks in the carbon fiber industry. Sumitomo Corporation's participation in this investment will strategically expand downstream business in the value chain, where particularly strong growth is expected, in order to further grow its carbon fiber-related revenue .

After the investment, Sumitomo Corporation plans to enhance EC's corporate value by making the most of its global network and the knowledge it has accumulated through its various businesses. As an example, Sumitomo Corporation will expand sales of core materials for overhead transmission lines manufactured by EC using CFRP. This product would contribute to the spread of renewable energy because it can safely and efficiently transmit higher voltage while utilizing existing facilities.

Through the above, Sumitomo Corporation will create synergies with renewable energy projects that it aims to initiate and expand EC's product lineup by combining EC's technological capabilities with Sumitomo Corporation's network and functions.

By promoting CFRP products more than ever, Sumitomo Corporation will contribute to reduce CO2 emissions toward a decarbonized society.

Note: The content of this press release has not been edited by Fibre2Fashion staff.

Fibre2Fashion News Desk (HU)