Nidec in talks to sell components unit to Carlyle for $636 mln- Nikkei

Nidec is engaged in final-stage negotiations to sell its electronic components subsidiary, Nidec Components, to U.S. private equity firm Carlyle Group, according to the Nikkei. The deal is anticipated to be valued at over 100 billion yen ($636 million), marking Nidec's first sale of a major subsidiary. The transaction aims to expedite a recovery for the Japanese electric motor manufacturer by simplifying its operations.

Nidec Components, established in 1967 under the name Copal Electronics, became a wholly-owned subsidiary of Nidec in 2014. The firm, recognized as the world's leading producer of precision motors, is anticipated to incur a 1 trillion yen ($6.3 billion) impairment charge due to a significant governance scandal from the previous year.

On Tuesday, Nidec disclosed that President and CEO Mitsuya Kishida had stepped down from his positions immediately. The company's shares surged by 3.4% on Wednesday and were poised to end a two-day decline. They currently stand up 11% for the year 2026. Nidec is implementing a comprehensive business restructuring to bolster its core electric motors divisions, which serve as a major supplier to automotive and industrial entities.