The proposed merger of Ardent Computer and Stellar Computer to create Stardent Inc has caused headaches for the companies’ respective distributors in Japan: Ardent’s sole distributor was the Kubota Computer arm of Kubota Steel Co, while Stellar’s Japanese subsidiary had three distributors, Asahi Chemical, Mitsui & Co and Algo Graphics; according to the Nikkei Sangyoo Shimbun, Stellar actively sought funding from its three resellers when its need for more venture capital became pressing earlier this year, and Asahi Chemical, which had gone to the trouble of establishing Asahi Techno-Computer Inc to adapt the Stellar machines for the Japanese market, despatched a team to the US to examine the proposal, but was not prepared to invest the $30m Stellar wanted; Mitsui & Co had not been keen to pump in so much cash, and Sumitomo Metals, which marketed systems for Algo, was approached, also without result – but the merger was agreed without the knowledge of Mitsui or Asahi following a visit by Stellar executives to Japan in mid-August to look at the Kubota manufacturing facility in Yamanashi prefecture; in the new Stardent, Kubota’s hare drops to 22% from 44%, but it remains the main manufacturing source for the two sides, and will invest more to expand production facilities; the Japanese subsidiary of Stellar will be absorbed into Kubota Computer, which will supply its three distributors.
