Scandal-tainted Nidec, which grew from a Kyoto startup into the world’s largest manufacturer of precision motors, has fallen to the bottom rank of the yen debt market by one measure, leaving its new CEO with a challenge to restore investor confidence. Nidec’s yen bond due in mid-2032 slumped to ¥77.7, the lowest among more than 3,000 local corporate notes maturing by then, according to data compiled by Bloomberg. The drop came after the company reported last week a net loss of ¥564.6 billion ($3.6 billion) due to writedowns in the year ended March 31, while Nidec’s auditor PwC Japan refused to sign off on its financial statements, in the latest dramatic turn in an accounting scandal.
The company declined to comment on the bond’s market price, saying it is determined by factors including supply and demand, as well as investor sentiment.
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