Nidec Corporation (TOKYO:6594; OTC US: NJDCY) (the “Company”) hereby announces that the Company made a resolution today, November 5, 2026, to renew its commitment line agreements with its main creditor banks, MUFG Bank, Ltd. and Sumitomo Mitsui Banking Corporation, for a total of 600 billion yen, and has executed the agreements on the same date as follows.
1. Purpose for renewal of Commitment Line Agreement
Upon the maturity of the term on the agreements, to keep securing flexible and stable funding capacity and maintain its financial health.
2. Overview of Commitment Line Agreement (After Renewal)
|
Contracting party |
MUFG Bank, Ltd. |
Sumitomo Mitsui Banking Corporation |
|
Borrowing limit |
300 billion yen |
300 billion yen |
|
Contract expiration date |
November 5, 2027 |
November 5, 2027 |
|
Form of contract |
Bilateral |
Bilateral |
|
Collateral and guarantee |
Unsecured and unguaranteed |
Unsecured and unguaranteed |
|
Financial Covenants |
To maintain the total equity recorded in the consolidated balance sheets as of the end of the fiscal year ending March 31, 2027, at 90% or more of the total equity recorded in the consolidated balance sheets as of the end of the fiscal year ended March 31, 2026. |
|
3. Overview of Commitment Line Agreement (Before Renewal)
|
Contracting party |
MUFG Bank, Ltd. |
Sumitomo Mitsui Banking Corporation |
|
Borrowing limit |
300 billion yen |
300 billion yen |
|
Contract execution date |
November 4, 2025 |
November 4, 2025 |
|
Form of contract |
Bilateral |
Bilateral |
|
Contract period |
November 7, 2025 to November 6, 2026 (1 year) |
November 7, 2025 to November 6, 2026 (1 year) |
|
Collateral and guarantee |
Unsecured and unguaranteed |
Unsecured and unguaranteed |
|
Financial Covenants |
To maintain the total equity recorded in the consolidated balance sheets as of the end of the fiscal year ended March 31, 2026, at 75% or more of the total equity recorded in the consolidated balance sheets as of the end of the fiscal year ended March 31, 2025. However, in the event that the total equity recorded in the consolidated balance sheets is restated as a result of the investigation by the Third-Party Committee, the establishment of which was decided on September 3, 2025, the determination shall be made based on the restated total equity. |
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20261104508497/en/
Media gallery
