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Nissan supplier Marelli files for Chapter 11, secures $1.1 billion in new financing
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Nissan supplier Marelli files for Chapter 11, secures $1.1 billion in new financing
Jun 11, 2025 12:32 AM

TOKYO (Reuters) -Nissan ( NSANF ) supplier Marelli Corp filed for Chapter 11 bankruptcy protection in the United States on Wednesday, the Japanese auto parts company said in a statement, after months of uncertainty about its talks with creditors.

The maker of car interiors and lighting, which is owned by private equity firm KKR, said it had secured a commitment of $1.1 billion in financing from its lenders, and that around 80% of the lenders had signed an agreement to support its restructuring.

"Throughout this process and moving forward, Marelli does not expect any operational impact from the Chapter 11 process," it said in a statement.

It said 100% of its secured debt would also be eliminated. 

Marelli's situation has been closely watched given that it is a major supplier to Nissan ( NSANF ) which is struggling to turn itself around. Marelli said the lenders of the new $1.1 billion financing will take ownership of the business once it emerges from Chapter 11, subject to a 45-day so-called "overbid process" in which other parties could bid for it.

The company listed both assets and liabilities in the range of $1 billion to $10 billion, according to a court filing.

Kyodo News reported last week that Marelli was looking into Chapter 11 to ensure its operations would not be halted in the event that talks with creditors fell through.

Marelli was created in 2019 from the merger of Magneti Marelli and Japan's Calsonic Kansei. Fiat Chrysler (FCA), now part of Stellantis, sold Magneti Marelli to Calsonic Kansei, owned by KKR, for 5.8 billion euros ($6.6 billion).

Marelli put forward a restructuring plan that included a buyout by India's Motherson Group, the Nikkei newspaper reported last month, adding that the proposal was unable to bridge the gap between Japanese and foreign creditors at the time.

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