Nidec Announces Financial Consolidation of Chaun-Choung Technology Corp., Taiwan
KYOTO, Japan, Jan. 23, 2019 (GLOBE NEWSWIRE) -- In connection with the acquisition of a 48.0% interest in Chaun-Choung Technology Corp. (TWSE: 6230) (“CCI”), Taiwan as announced on November 30, 2018, Nidec Corporation (TSE: 6594; OTC US: NJDCY) (the “Company” or “Nidec”) today announced that it has decided to include CCI in its scope of consolidation from December 2018. CCI’s financial performance has been reflected in the Company’s consolidated financial statements accordingly. For the details of the acquisition, please refer to its press release titled “Nidec Announces Completion of Tender Offer for Shares of Chaun-Choung Technology Corp., Taiwan” dated November 30, 2018.
1. Summary of CCI
| (1 | ) | Company name | Chaun-Choung Technology Corp. | ||
| (2 | ) | Headquarters | 12F, No.123-1, Xingde Road, Sanchung, New Taipei City 241, Taiwan, R.O.C. | ||
| (3 | ) | Name and title of representative | Chairman, Wu Shih Ling | ||
| (4 | ) | Description of business | Development, manufacturing, and sales of thermal module products | ||
| (5 | ) | Capital | TWD 863,433,960 (JPY 3,108M) | ||
| (6 | ) | Date of establishment | December 14, 1973 | ||
| (7 | ) | Major shareholder | Nidec Corporation (48.0%) | ||
| (8 | ) | Relationship with Nidec | Capital | Nidec owns 48.0% shares of CCI | |
| Personnel | Nidec’s executive personnel is to serve as CCI’s board director. | ||||
| Business | No material transactions | ||||
| (9 | ) | Consolidated financial results and financial conditions of CCI | |||
| Accounting period | December 2015 | December 2016 | December 2017 | ||
| Net assets | TWD 3,494M (JPY 12,578M) | TWD 3,782M (JPY 13,615M) | TWD 3,599M (JPY 12,956M) | ||
| Total assets | TWD 6,215M (JPY 22,374M) | TWD 6,730M (JPY 24,228M) | TWD 6,489M (JPY 23,360M) | ||
| Book-value per share | TWD 40.47 (JPY 145.69) | TWD 43.80 (JPY 157.68) | TWD 41.68 (JPY 150.05) | ||
| Sales | TWD 6,044M (JPY 21,758M) | TWD 7,297M (JPY 26,269M) | TWD 7,067M (JPY 25,441M) | ||
| Operating profit | TWD 801M (JPY 2,884M) | TWD 1,194M (JPY 4,298M) | TWD 767M (JPY 2,761M) | ||
| Net profit | TWD 671M (JPY 2,416M) | TWD 946M (JPY 3,406M) | TWD 500M (JPY 1,800M) | ||
| Earnings per share | TWD 7.77 (JPY 27.97) | TWD 10.95 (JPY 39.42) | TWD 5.79 (JPY 20.84) | ||
| Dividends per share | TWD 5.50 (JPY 19.80) | TWD 7.50 (JPY 27.00) | TWD 3.95 (JPY 14.22) | ||
*Exchange rate used for conversion: TWD 1 = JPY 3.60 (as of the end of December 2018)
2. Future outlook
The contribution of CCI will be limited to Nidec’s financial results. Nidec expects no significant impact on its consolidated financial results for the fiscal year ending March 31, 2019.
Cautionary Statement Concerning Forward-Looking Information
This press release contains forward-looking statements regarding the intent, belief, strategy, plans or expectations of the Nidec Group or other parties. Such forward-looking statements are not guarantees of future performance or events and involve risks and uncertainties. Actual results may differ materially from those described in such forward-looking statements as a result of various factors, including, but not limited to, the risks to successfully integrating the acquired business with the Nidec Group, the anticipated benefits of the Tender Offer not being realized, changes in general economic conditions, shifts in technology or user preferences for particular technologies and changes in business and regulatory environments. The Nidec Group does not undertake any obligation to update the forward-looking statements contained herein or the reasons why actual results could differ from those projected in the forward-looking statements except as may be required by law.
| Masahiro Nagayasu |
| General Manager |
| Investor Relations |
