Chiyoda, Ebara to tie up

Chiyoda, Ebara to tie up

TOKYO (AFX-ASIA): Ebara Corp and Chiyoda Corp will jointly
build incineration, water-processing and other facilities in
Southeast Asian and other overseas nations, the Nihon Keizai
Shimbun reported, citing sources close to the plan.

The two companies are considering setting up a joint venture
for the purpose, it said.

Under the alliance, Chiyoda will take charge of engineering
work and buying materials necessary for overseas projects, it
said.

Chiyoda is also asking Ebara to purchase about 1 billion yen
of new shares to be issued in the year to March 2001, it said.

Ebara currently owns around 0.3 percent stake of Chiyoda.

Under its own restructuring plan, Chiyoda intends to ask
financial institutions to forgive some 25 billion yen in debts,
as well as capital reduction to restore soundness to its balance
sheet, the report said.