KYOTO, Japan, June 01, 2016 (GLOBE NEWSWIRE) -- Nidec Corporation (OTC:NJDCY) (TSE:6594) (the “Company” or “Nidec”) today announced that it has acquired approximately 94.8% of the shares of ANA IMEP S.A. (“IMEP”), a Romanian washing and drying machine motors manufacturer from its major shareholder on May 31, 2016, local time (the “Transaction”) to strengthen the appliance business of Nidec’s subsidiary, Nidec Sole Motor Corporation S.R.L. As a result of the Transaction, IMEP became a consolidated subsidiary of Nidec, as outlined below:
1. Outline of New Subsidiary
| (1 | ) | Company Name: | Nidec Motor Corporation Romania | |
| (2 | ) | Headquarters: | Pitesti, Romania (Land area: 155k sq m, Building area: 45k sq m) | |
| (3 | ) | Foundation: | 1967 | |
| (4 | ) | Directors: | ||
| Director and Chairman: Director: Director: | Valter Taranzano (Nidec Sole Motor Corporation S.R.L., CEO) Katia Drusian (Nidec Sole Motor Corporation S.R.L., CFO) Alberto Gentile (Nidec Sole Motor Corporation S.R.L., Vice President) | |||
| (5 | ) | Principal Business: | Development, manufacturing and sales of washing machine and drying machine motors | |
| (6 | ) | Employees: | 288 (as of December 31, 2015) | |
| (7 | ) | Subsidiary: | Nidec Service & Components Romania (Manufacturing and sales of molds for automobile components and plastic cases) | |
| (8 | ) | Sales | €14.8 million (Fiscal year ended December 31, 2015) | |
2. Purpose of the Transaction and Future Operation Policy
Nidec is actively moving forward with the development of new growth platforms with particular emphasis on automotive, appliance, commercial and industrial motors and solutions.
Through the Transaction, the Company not only expects to enhance the competitiveness of its appliance motor business in the European market but also intends to build up a major manufacturing base in Romania for its Appliance, Commercial and Industrial Motors business (“ACIM”).
With the expansion of ACIM globally, it is essential to expand its production capacity in Europe, especially in a cost-efficient country. The location of Nidec Motor Corporation Romania is suitable as a manufacturing base, because Romania is a cost-efficient country with qualified labor force. The Company intends to utilize Nidec Motor Corporation Romania’s sizable premises and facilities, including a manufacturing factory for the appliance business, and newly make investments and enhance its production capacity for the commercial and industrial business as well so that the Company can establish an optimal production structure globally.
Furthermore, in the future, the Company intends to build up Nidec Motor Corporation Romania as its production base as well as an engineering center and a shared-service center of ACIM.
3. Effect on Financial Performance for the Current Fiscal Year
The Transaction is expected to have no significant impact on the Company’s consolidated financial performance for the fiscal year ending March 31, 2017. The Company will make additional disclosure on a timely basis in accordance with the rules of the Tokyo Stock Exchange upon determination of further details.
Cautionary Statement Concerning Forward-Looking Information
This press release contains forward-looking statements regarding the intent, belief, strategy, plans or expectations of the Nidec Group or other parties. Such forward-looking statements are not guarantees of future performance or events and involve risks and uncertainties. Actual results may differ materially from those described in such forward-looking statements as a result of various factors, including, but not limited to, the risks to successfully integrating the acquired business with the Nidec Group, the anticipated benefits of the transaction not being realized, changes in general economic conditions, shifts in technology or user preferences for particular technologies and changes in business and regulatory environments. The Nidec Group does not undertake any obligation to update the forward-looking statements contained herein or the reasons why actual results could differ from those projected in the forward-looking statements except as may be required by law.