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Takata Attracts Interest from 30 Possible Investors
Thirty would-be investors have expressed at least initial interest in buying equity in Takata Corp., sources tell Reuters.
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Thirty would-be investors have expressed at least initial interest in buying equity in Takata Corp., sources tell Reuters.
It isn’t clear how many would-be investors are serious about the beleaguered airbag supplier. Takata and Lazard Freres & Co. LLC hope to identify a financial sponsor for the company by August.
Takata faces the threat of bankruptcy from costs associated with the recall by 17 carmakers of roughly 100 million of its airbag inflators that could explode when activated in a crash. Takata’s CEO has offered to resign, and the company is considering a drastic overhaul of its operations and management to survive, according to reports.
Valient Market Research Inc. estimates Takata’s share of the airbag market will shrink from 22% last year to about 5% by 2020. Most of the supplier’s primary customers have said they are phasing out Takata inflators because of continuing questions about the long-term performance of the devices.
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