BIMobject establishes subsidiary with leading Japanese building materials supplier
Today, BIMobject AB (BIMobject) and Nohara Holdings, Inc. (Nohara) signed an agreement to establish a co-owned subsidiary: BIMobject Japan. The subsidiary will be given exclusive marketing rights for BIMobject products and services on the Japanese market. The agreement also entails that BIMobject will receive annual licence proceeds of a guaranteed minimum amount of 1 million USD per year during the subsidiary’s first three years of operation.
BIMobject and Nohara today entered into a long-term agreement to establish a co-owned subsidiary, BIMobject Japan, with the exclusive right to market and supply BIMobject products and services on the Japanese market. The Japanese subsidiary, which will start operating during the last quarter of 2017, will be controlled by BIMobject to 51 per cent and to 49 per cent by Nohara. Nohara will make a 4.9 million USD cash contribution, while BIMobject will contribute its technology and the exclusive marketing and supply rights for its products and services. Through an external valuation, Nohara values the technology and exclusive rights at 5.1 million USD. The Shareholders’ Agreement grants BIMobject 51 per cent of the votes and 51 per cent of future dividends, or of any future liquidation or sales proceeds.
Furthermore, the parties have agreed that the subsidiary will pay BIMobject an annual licence fee for the use of its technology and platform. The licence fee is based on the subsidiary’s gross sales, but will consist of a guaranteed minimum of 1 million USD per year for the first three years of operation. The first licence proceeds are estimated to be made during Q1 of 2018.
“This agreement confirms once again that our offerings are global and attractive. The Japanese market has enormous potential, and Nohara’s well-established and comprehensive business gives access to large numbers of users and manufacturers. Japan is the third largest economy in the world and one of the most important markets in the region. That makes this cooperation another big step towards significant expansion in the region. At the same time, we’re creating great licence revenue. I’m extremely proud to carry out this cooperation”, says Stefan Larsson, CEO and founder of BIMobject.
“We are extremely excited and thrilled to start the BIMobject business in Japan, as the local property and construction industry just started to realize the large benefit of using BIM technologies. What Japanese BIM users can do with BIMobject solutions will significantly help to increase the productivity of the industry, which is also a large social mandate in Japan. Nohara Holdings will be strengthening its position as an enabler of digitalisation of the industry, adding BIMobject Japan to its current service menu, including BIM consulting services, software implementation services for quantity takeoff and an e-commerce web site focussing on construction materials, www.aunworks.jp”, says Kosuke Nohara, Director of Nohara.