Niterra announced that it would cancel the acquisition of DENSO's automotive plug business and other operations. DENSO reportedly requested termination of the acquisition agreement because of changes in the market environment and a review of its business policy. No part of the contract terms will be revised, and the procedures are expected to proceed.
Niterra announced that it would cancel the acquisition of DENSO's automotive plug business and other operations. The target businesses are the spark-plug business for engine ignition and the sensor business for detecting exhaust gases, 2 businesses for which DENSO reportedly requested termination of the agreement because of changes in the market environment.
Niterra reached an agreement with DENSO on the acquisition in September 2025, subject to competition-law approvals in each country, with the acquisition date yet to be determined. The transfer price was scheduled to be calculated at ¥180.6 billion using 31 March 2026 as the reference date, with the actual acquisition price expected to be reduced based on the number of days until the transfer date.
The market environment is said to include slowing demand for electric vehicles and rising demand for vehicles with internal-combustion engines. In light of these conditions, DENSO reportedly determined that continuing its spark-plug and other businesses would better meet diversifying mobility needs.
Niterra indicated that a prolonged acquisition negotiation would make the businesses' future outlook uncertain. By incorporating DENSO's businesses, it had been expected to seek a global share of more than 50% in automotive plugs. Attention is now focused on the future procedures and the outcome of the transaction.