Mitsui Chemicals, Inc. announced that it intends to carry out a joint incorporation-type demerger with Asahi Kasei Corporation for the two companies’ nonwovens businesses, forming a new integrated company as of the tentative date of October 2, 2023.

The companies have agreed on a business integration agreement that aims to carry on the operations that both companies run in Japan and Thailand for the production, development and sale of nonwovens-related products.

The joint incorporation-type demerger will enable the establishment of the new integrated company pending the acquisition of all clearances and approvals that are required in line with competition laws and other relevant laws in Japan and Thailand.