Nidec to Buy Omron Subsidiary for 100 B. Yen
Tokyo, April 17 (Jiji Press)--Japan's Nidec Corp. <6594> has announced a plan to acquire Omron Automotive Electronics Co., a unit of Omron Corp. <6645>, for an estimated 100 billion yen.
Nidec aims to complete the acquisition procedures around the end of October, according to the announcement Tuesday.
The Omron subsidiary based in Komaki, Aichi Prefecture, central Japan, is strong in control equipment for electric vehicles and sensors for sophisticated driving support systems.
Nidec has a target of increasing sales at automotive equipment-related operations to 600 billion yen in fiscal 2020. The motor maker aims to raise the number to one trillion yen through business acquisitions.
"Selling different parts separately is unlikely to produce much growth any longer," Nidec Chairman Shigenobu Nagamori told a press conference in Tokyo on Tuesday, stressing the need to sell module products.
[Copyright The Jiji Press, Ltd.]