Hitachi, Ltd. (NYSE:HIT) (TSE: 6501, Hitachi) and Silver Spring Networks, Inc. (Silver Spring) today announced that they have formed a strategic alliance under which Hitachi and Silver Spring propose to offer integrated solutions to power utilities and power users in the global smart grid sector. The strategic alliance will strengthen the two companies’ solutions and expand their businesses around the world. Their products and solutions will focus on improving efficiency in the power and information fields, leveraging the existing strengths and market leadership of both companies. As part of the strategic alliance announced today, Hitachi will acquire convertible bonds with stock acquisition rights to be issued by Silver Spring. The two companies will jointly undertake R&D for new products and solutions for the smart grid. Hitachi and Silver Spring have been working together on the Japan-U.S. collaborative smart grid demonstration project on the Hawaiian island of Maui since the spring of 2011. This alliance will strengthen and expand that relationship. “Hitachi is delighted to form a strategic alliance with Silver Spring Networks, a leading company in smart grid technology platforms around the world,” said Yutaka Saito, Vice President and Executive Officer of Hitachi. “Hitachi has strengths in both the power systems and information and telecommunication systems fields and has leveraged this advantage to develop smart grid systems. We are convinced that we can promote our smart grid business and create new offerings for utilities globally with Silver Spring Network’s industry-leading brand and product line-up and extensive track record.” “Silver Spring is excited to be working with Hitachi on expanding the choice for utilities around the globe,” said Silver Spring Chairman, President and CEO Scott Lang. “Hitachi’s technical and market leadership and our joint collaboration will bolster our offerings not only in Japan, but will expand both companies' smart grid global footprint.”
Hitachi (NYSE:HIT) hit a new 52-week high Tuesday as it is currently trading at $63.44, above its previous 52-week high of $63.17 with 8,582 shares traded as of 9:35 a.m. ET. Average volume has been 60,800 shares over the past 30 days.