Jun. 17, 2016
TDK Corporation (“TDK”) announces that its Board of Directors resolved at a meeting held on June 17, 2016 to restructure its organization (the establishment of a new subsidiary and the acquisition of three subsidiaries by the new subsidiary) as follows.
As this restructure involves only TDK’s wholly owned subsidiaries and will be carried out within the TDK Group, some of the items and content for disclosure have not been included in this announcement.
1. Purpose of organizational restructure within the TDK Group
The passive components business is TDK’s key business, and TDK aims to further increase profits by expanding its businesses to include fast-growing fields. The passive components business currently manufactures most of its products in the Akita district, and TDK has decided to carry out this restructuring to utilize technologies and human resources within the group to achieve increased competitiveness and technological improvement, as well as to create a robust base that can continuously generate profit.
The restructuring will involve the establishment of a new subsidiary and the acquisition of three existing subsidiaries by the new subsidiary.
2. Outline of the newly established subsidiary
|(1)||Name||TDK Akita Corporation|
|(2)||Location||Yurihonjo City, Akita|
|(3)||Representative||Ryuji Hayashi (President)|
|(4)||Business||Manufacture of passive components|
|(5)||Capital||200 million yen
(10 million yen at the time of establishment)
|(6)||Date of establishment||December 7, 2016|
|(7)||Equity ratio||TDK-EPC Corporation*1: 100%|
|(8)||Net sales||83,340 million yen (the sum of net sales of the three subsidiaries for the fiscal year ended March 31, 2016)|
*1: TDK-EPC Corporation is a wholly owned subsidiary of TDK.
3. Outline of the subsidiaries to be transferred
|(1)||Name||TDK-MCC Corporation||TDK Ugo Corporation||TDK Yurihonjo Corporation|
|(3)||Date of establishment||June 1, 1971||January 30, 1970||June 8, 1985|
|(4)||Location||151 Aza Maeda, Hirasawa,
Nikaho City, Akita
|146-1 Aza Haraikawa, Ohuchi-Sankawa,
Yurihonjo City, Akita
|16-57 Aza Yamanokami, Ishiwaki,
Yurihonjo City, Akita
|(5)||Capital||1,000 million yen||106 million yen||110 million yen|
|(6)||Total assets||16,449 million yen||25,294 million yen||5,346 million yen|
|(7)||Major shareholders and their percentages of holdings||TDK-EPC Corporation: 99%||TDK-EPC Corporation: 100%||TDK-EPC Corporation: 100%|
|(1)||Resolution of Board of Directors||June 17, 2016|
|(2)||Establishment of new company||December 7, 2016|
|(3)||Date of merger
|April 1, 2017 (Planned)|
This restructuring is projected to have no impact on TDK’s consolidated results for the fiscal year ending March 31, 2017.
|(Million yen)||Net sales||Operating income||Income
|Net income attributable to TDK|
|Forecasts for the year ending March 2017||1,160,000||74,000||73,000||50,000|
|Results for the year ended March 2016||1,152,255||93,414||91,839||64,828|
Contact for media
|Mr. Sumio Marukawa||TDK Corporation||+81 3 firstname.lastname@example.org|