Nidec Makes Unsolicited Bid for Makino Milling

Nidec Corp. has made a surprise unsolicited bid of ¥257.3 billion ($1.6 billion) for Makino Milling Machine Co., offering ¥11,000 per share, a 42% premium over Makino's recent closing price. This move marks a rare instance of unsolicited takeovers in Japan, as Nidec has not yet discussed the offer with Makino's board. The company plans to proceed with the tender offer on April 4, irrespective of Makino's approval. Nidec's founder, Shigenobu Nagamori, previously indicated a willingness to invest up to ¥1 trillion for acquisitions to bolster the company's growth strategy. The bid reflects Nidec's ambition to expand into higher-margin markets amidst challenging conditions in its current sectors. If successful, this would be Nidec's largest acquisition to date, surpassing its previous major deal with Leroy-Somer.