Nitto has agreed to transfer a portion of its NVH business to Parker Corporation

NVH business of Nitto Denko Corporation

Nitto’s NVH business is engaged in the manufacturing and distribution of components, primarily reinforcement and vibration-damping materials that improve the comfort and safety of automobile interiors and other living spaces by reducing noise, vibration and harshness. With the outstanding technological, operational and sales capabilities, Nitto is recognized as a leading Tier 1 supplier of highly engineered NVH products for the global automotive industry.

The Deal

Aiming to realize a sustainable environment and society by placing environmental, social and governance (ESG) at the heart of its management, Nitto has positioned Next-generation Mobility, Information Interface and Human Life as three key growth business domains and it will transform its business portfolio by strategically investing management resources in these growth domains. Nitto has decided to sell its NVH business in North America and China to Parker Corporation which sees significant potential of the NVH business in the electric vehicle world where reduction of noise, vibration and harshness will be critical.

With the acquisition of Nitto’s technological capabilities, access to customers and the footprint in North America, Parker will be well positioned to become a leading solution provider in the global NVH industry. Nitto will accelerate the transformation of its portfolio and enhance its presence and value in the next-generation mobility market by focusing its resources on applications and technology areas where further growth is expected in the connected, autonomous, shared and electric (CASE) domain.

Our Perspective

Tetsuya Fujii, Managing Director and Chief Executive Officer of Lincoln Japan, commented, “Lincoln is delighted to act as the exclusive financial advisor to Nitto on this strategically important transaction. As the automotive industry is transitioning from internal combustion engines to CASE, suppliers are required to realign their product portfolio to continue to serve the industry. We strongly believe that the transaction will allow Nitto to focus on the areas where the demand for the products will grow as the electrification progresses and Nitto’s technological competencies are leveraged.”

Nitto Denko Corporation NVH Business Parker Corporation 2023 Connect with a Senior Team Member

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