Nidec Completes Acquisition of Secop Group

http://www.chinaiol.com   2017/8/1 14:02:34   Source:Nidec  

Nidec Corporation (TSE: 6594) (OTC US: NJDCY) (the “Company” or “Nidec”) announced today that the Company completed the acquisition of 100% equity shares of Secop Holding GmbH, Secop s.r.o., Secop Compressors (Tianjin) Co., Ltd. and Secop Inc. (collectively “Secop”), and shareholder loans from Secop Beteillingungs GmbH, a portfolio management company owned by AURELIUS Equity Opportunities SE & Co KGaA (“Aurelius”) (the “Transaction”) on July 31, 2017.

As a result of the Transaction, Secop and their subsidiaries became Nidec’s subsidiaries. The details of the main acquired companies are as follows:

2. Purpose of the Transaction and Future Operation Policy

Nidec has been actively developing a new growth platform with particular focus on appliance, industrial and commercial business. As part of this strategy, the Company is pursuing strategic acquisitions in the appliance industry. For this purpose, Nidec has created a new division named Nidec Global Appliance Division, which consists of Nidec Sole Motor Corporation S.R.L. (formerly, the household motor business of Appliances Components Companies S.p.A. acquired in January 2010), the appliance business of Nidec Motor Corporation (formerly, the motor and control business of Emerson Electric Co. acquired in September 2010) and Nidec Motor Corporation Romania (formerly, ANA IMEP S.A. acquired in May 2016). Nidec Global Appliance Division has three factories in Europe, one in China and one in Mexico, mainly focusing on the manufacturing and sales of motors for wet appliances such as washing machines, dryers and dishwashers.

Secop’s strength lies in industry-leading compressors for household and commercial refrigerators. Through the Transaction, the Company has added compressors to its product portfolio, which allows the Company to expand further into the global refrigeration market.

The Company believes that the Transaction will bring Nidec Group closer to its FY2020 sales target of two trillion yen as both parties’ technological capabilities, brands, and customer bases come to blend well together.

3. Effect on Financial Performance for the Current Fiscal Year

Once the Company determines the impact of the Transaction on its financial performance for the current fiscal year, it will make appropriate disclosure pursuant to the rules of the Tokyo Stock Exchange, and announce any changes to its forecasts as required thereunder.