Nidec(US:NJDCY) Prnewswire·2025-12-23 15:54Core Viewpoint - Nidec is facing significant challenges due to ongoing investigations into improper accounting practices, leading to substantial declines in its stock price and regulatory scrutiny from the Tokyo Stock Exchange. Group 1: Investigation and Findings - On September 3, 2025, Nidec established a third-party committee to investigate suspicions of improper accounting, revealing multiple documents indicating potential involvement of management in these practices [1] - On September 26, 2025, Nidec disclosed further findings of inappropriate accounting, including undervaluation for customs purposes, and received an audit report with a disclaimer of opinion from its auditor due to ongoing investigations [2] - On October 23, 2025, Nidec announced the withdrawal of its year-end forecast and the decision not to pay a surplus dividend, citing ongoing investigations into suspected inappropriate accounting practices [3] Group 2: Stock Price Impact - Following the initial investigation announcement on September 4, 2025, Nidec's stock price fell by $0.81, or 16.5%, closing at $4.11 per share [1] - After the September 26 disclosure, the stock price dropped by $0.29, or 6.6%, to close at $4.09 per share [2] - On October 23, the stock price fell by $1.17, or 25.4%, closing at $3.43 per share after the withdrawal of the year-end forecast [3] Group 3: Regulatory Actions - On October 27, 2025, the Tokyo Stock Exchange designated Nidec under a Special Security alert, citing the need for significant improvements in the company's internal management systems and identifying deficiencies in internal controls related to accounting and financial processes [4] - Following this alert, Nidec's stock price fell by $0.80, or 20.3%, closing at $3.15 per share [4]