The financial details are, however, not disclosed.
Though it has taken the management control in the joint venture, Johnson Lifts will continue its technology partnership with the Japanese firm.
“This is not a change in direction but a strengthening of an existing partnership,” said Yohan K. John, Director, Johnson Lifts, at a press conference held in Chennai on Monday. “We bring market reach and execution capability. Toshiba continues to provide advanced technology and engineering,” he added.
The move follows an over-a-decade partnership and comes with a new 10-year agreement. Under this revised structure, TJEI will remain the exclusive partner for Toshiba-branded elevators in India. Toshiba will continue to supply products and provide technical support. There would be no changes to product or safety standards or service processes, said John.
TJEI has installed over 5000 units in India since it came into being in 2012 and reported a turnover of about Rs 300 crore. It will continue to operate as a separate entity, handling sales, installation, maintenance and customer service. “There is complete continuity from a customer standpoint,” John said. “The products, processes and quality benchmarks remain unchanged,” he added. The aim was to double the revenue of TJEI over the next three-to- four years, John said.
Wilfred Clarence Martin, Managing Director TJEI, said that the company would focus on the high-rise and the high-speed segments. “Demand is increasing as buildings get taller, and this is the segment we will concentrate on,” he said.
To a query, John said that input costs, particularly steel and copper, had been increasing, leading to a pressure from suppliers. “We have started the year well, but we expect some slowdown over the next six months,” he said. John also pointed to the challenges in exports due to the war in West Asia.
