Japanese engineering giants Mitsubishi Heavy Industries and Hitachi have agreed the name and management structure of their new merged thermal power business.MHI steam turbine

The new company will be called Mitsubishi Hitachi Power Systems. MHI will hold a 65 per cent stake and Hitachi the remaining 35 per cent.

While the main focus of the company will be thermal power – gas and steam turbines, coal gasification generating equipment, boilers, control systems and generators etc – it will also deal in geothermal, environmental and fuel cell equipment.

The company will be headquartered in the city of Yokohama, south of Tokyo, and will have MHI’s current executive vice-president, Takato Nishizawa, as its president and chief executive. Hitachi’s executive vice-president Koji Tanaka will be its chairman. Both positions, as well as those of all other board members, are subject to acceptance at the company’s first board meeting, which will be in early 2014.