Mitsui & Co. Ltd has announced that it plans to liquidate its wholly owned subsidiary, Mitsui & Co. LNG Investment Ltd (MITLI).
MITLI has transferred its holdings in LNG projects to Mitsui.
Mitsui said that MITLI was originally established for the purpose of managing its investments in an integrated manner. However, the recent business environment has led to a transfer of investments and the planned liquidation as part of Mitsui's cost-cutting and streamlining measures.
Mitsui expects the liquidation of MITLI to be completed six months after the reduction of capital, which was 30 March 2016.
As a result of the deconsolidation, a profit of approximately ¥34 billion from gains on securities and other investments is expected to be recorded in Mitsui's full year consolidated financial results for the fiscal year ending March 2016.
Edited from press release by Callum O'Reilly
Read the article online at: https://www.lngindustry.com/liquid-natural-gas/01042016/mitsui-to-liquidate-lng-subsidiary-2211/