KYOCERA Corporation (President: Hideo Tanimoto; hereinafter "KYOCERA") announced today that it has resolved to acquire 33.0% of the shares of Japan Aviation Electronics Industry, Limited (President: Masayuki Muraki; hereinafter "JAE") held by NEC Corporation (President and CEO: Takayuki Morita; hereinafter "NEC"). In conjunction with this share acquisition, KYOCERA has also entered into a capital and business alliance agreement with JAE (hereinafter "The Alliance").
■ Share Acquisition of JAE
KYOCERA has resolved to acquire JAE shares from NEC, the largest shareholder of JAE, through an off-market, over-the-counter transaction as outlined below. Upon completion of this share acquisition, JAE will become an equity-method affiliate of KYOCERA.
①Number of JAE shares to be acquired: 22,232,269 shares (representing 33.0% of the total number of issued shares as of September 30, 2025, excluding treasury stock)
②Scheduled date of share acquisition: October 31, 2025 (planned)
■ The Alliance
1. Purpose and Rationale for The Alliance
In its Electronic Components Business, KYOCERA's business strategy is to expand market share and enhance profitability by generating synergies between the global sales network and customer base of its U.S. subsidiary, KYOCERA AVX Components Corporation (hereinafter "KAVX"), and KYOCERA's own production technologies that promote labor saving and efficiency improvements. Based on this strategy, KYOCERA is focusing on its MLCC and tantalum capacitor businesses. Regarding KYOCERA's connector business, while it has strengths in flexible printed circuit (FPC) connectors, board-to-board connectors, and custom connectors for the European automotive market, it faces challenges in terms of business scale, production technology, and product standardization expertise needed to meet diverse customer requirements for "compact, high-voltage, anti-vibration, and waterproof" solutions in high-growth markets such as automotive, data centers, and industrial robotics. Given this background, KYOCERA is convinced that The Alliance with JAE, a top-10 global connector manufacturer, will create synergies between the two companies and enable the growth of a globally competitive connector business.
JAE, under its mid-term management plan, aims to achieve growth by focusing on four key markets--automotive, mobile devices, industrial equipment/infrastructure and aerospace--and by strengthening its technological development and manufacturing capabilities. However, due to changes in the market environment and delays in some initiatives such as overseas market expansion, achieving the plan is expected to require more time. In light of these circumstances, JAE is convinced that The Alliance with KYOCERA will enable it to accelerate the growth of its connector business by leveraging KYOCERA's overseas sales network, production sites, and design resources.
2. Specific Details
(1) Details of The Alliance
i. Building on the existing agreement for manufacturing consignment of JAE's European-market connectors to the KAVX Czech plant, KYOCERA and JAE will establish a joint collaboration team to explore and promote specific collaborations to deepen the cooperative relationship in their connector businesses, focusing on the following areas:
①Expansion of manufacturing consignment to the KAVX Czech plant and utilization of other KYOCERA overseas production sites for JAE connector products.
②Sales of JAE connector products through KYOCERA Group's sales channels and local technical support systems for the automotive and industrial markets in Europe.
③Joint development of new products by leveraging the design resources of both companies.
④Joint development of optical technology for next-generation computing.
⑤Other cross-selling collaborations in the connector business utilizing the sales channels of both companies.
ii. The two companies will promptly build a cooperative relationship to enhance JAE's development structure for mobile and ICT device businesses and promote technological cooperation.
(2) Appointment of Director
Under The Alliance, KYOCERA has the right to appoint one director to the JAE Board of Directors.
■Overview of the counterparty for the Capital and Business Alliance
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（1） |
Name |
Japan Aviation Electronics Industry, Limited |
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（2） |
Location |
1-21-1 Dogenzaka, Shibuya-ku, Tokyo, Japan |
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（3） |
Name and Title of representative |
Masayuki Muraki, President and Representative Director |
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（4） |
Business description |
Manufacturing and sales of connectors, interface solution devices and electronic equipment/components for the aerospace industry, as well as the procurement and sales of related equipment and parts. |
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（5） |
Capital |
10,690 million yen (as of March 31, 2025) |
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（6） |
Date founded |
August 20, 1953 |
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（7） |
Website |
