Nidec Completes Acquisition of OMRON Automotive Electronics Co. Ltd
Nidec Corporation has completed the acquisition of OMRON Automotive Electronics Co. Ltd. and all of its related overseas subsidiaries from OMRON Corporation on October 31, 2019 (Japan time), in accordance with a stock purchase agreement entered into by the Company and OMRON on April 16, 2019 (Japan time). A new company has been formed, Nidec Mobility Corporation., merging the automotive assets of the Nidec with OMRON Automotive Electronics.
Nidec positions its automotive motor business as one of it’s key strategic businesses, and engages in active efforts in the business for automotive motor market which Nidec expects to grow rapidly in the coming years. Pictured above is a prototype of a recent addition to its lineup of motors powering electric vehicles: a traction motor designed to be fitted inside the wheel hubs.
Nidec particularly focuses on module products composed of electric power steering (EPS) motors, electric brake motors, etc. and electronic control units (ECU) eyeing further electrification and autonomous driving in the automotive industry, as well as EV traction motor systems, etc. for which significant future market growth can be expected.
Nidec anticipates that the electrification trend will accelerate further in response to environmental and energy related challenges on a global scale, and will step up research and development activities with Nidec Elesys, an ECU manufacturer which joined the Nidec group in 2014, to create more electrification products going forward.
OMRON Automotive Electronics engages in research and development, manufacturing, and sales of automotive electronics products as a subsidiary of OMRON Group, which has strengths in control equipment, systems, and electronic components based on its sensing and control technologies. In particular, OMRON Automotive Electronics has produced many high-quality control products for body control system, ECUs for motor control systems, power control systems, and other areas to address the market’s electrification needs.
Through the transaction, Nidec will be able to create new module and systems products by combining Nidec group’s motors, pumps, gears, etc. with OMRON Automotive Electronics’ products including ECUs and other electronics products.
Furthermore, Nidec Elesys and OMRON Automotive Electronics have a complementary relationship in the area of ADAS (Advanced Driver Assistance Systems), creating significant synergies. In particular, Nidec Elesys has strengths in wave radar and camera-related products, while OMRON Automotive Electronics has strengths in laser radar and driver monitoring systems, which will allow the two companies to collectively provide a full spectrum of sensors required for autonomous driving in the future.
Following the transaction, Nidec expects that the both companies will cooperate within the Nidec Group to provide a wide variety of sensor products which support autonomous driving technologies.