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KYOTO, Japan, October 01, 2024--(BUSINESS WIRE)--Nidec Corporation (TOKYO: 6594; OTC US: NJDCY) (the "Company" or "Nidec") announced today that its Board of Directors has approved a resolution to acquire the share of Linear Transfer Automation Inc., Linear Automation USA Inc., and Presstrader Limited, privately-owned Canadian companies (collectively the "Linear"), from its shareholders (the "Transaction of share") on September 27, 2024 (Japan time). The Company executed an agreement on the Transaction of share on September 30, 2024 (Canada time). The Transaction of share will be executed on October 1, 2024 (Canada time).
| 1. Outline of the New Subsidiary | |||
| (1) | Company name | (i) | Linear Transfer Automation Inc. |
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| (ii) | Linear Automation USA Inc. | |
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| (iii) | Presstrader Limited. | |
| (2) | Headquarters | Barrie, Ontario, Canada | |
| (3) | Established | 1994 | |
| (4) | Business leader | Rama Jayaweera | |
| (5) | Business base | Canada, United States | |
| (6) | Principal of businesses | Manufacturing, sales and service for press peripheral equipment | |
| (7) | Number of employees | 90 (Consolidated) | |
| (8) | Sales | 39.6 million CAD (approximately 4.4 billion yen) The fiscal year ended September, 2023 | |
2. Linear’s Strengths
Linear is based in Ontario, Canada, and is a company that engineers, manufactures, integrates and provides services for in-line parts/material transfer and post-process automation equipment in the metal forming press room process. Linear’s main customers are major automobile manufacturers and Tier 1 and 2 suppliers, and Linear is supported by not only North American manufacturers but also major Japanese manufacturers for its technology, quality, and service. They also have strong ties with a wide range of other sectors in the North American market, including manufacturers of building materials and appliance.
| 3. Nidec’s Press & Automation Machine Business | |||
| (1) | Company name | Nidec Minster, Nidec Drive Technology (Kyori press-machine), Nidec Arisa, Nidec Vamco, Nidec SYS, Nidec CHS, Nidec Automatic Feed | |
| (2) | Sales | The fiscal year ended March 31, 2024 | 66.7 billion yen |
| (3) | Products | Small high-speed presses, medium-sized presses, large presses, peripheral equipment | |
| (4) | Manufacturing sites | Japan, China, U.S.A., Mexico, Germany, Spain | |
| (5) | Number of employees | Approx. 1,400 | |
4. Synergies with Our Group
Through our Nidec Press & Automation Businesses, we have expanded our press machine manufacturing, sales, and service business globally, as well as increased our lineup of presses and peripheral equipment products with M&As.
With the addition of Linear, we will be able to offer a wide range of products and services to our customers and pursue following synergies in terms of products, sales, and technology.