Marelli Holdings, the Japanese automotive supplier backed by global investment firm KKR, is reportedly considering a Chapter 11 bankruptcy filing in the United States, according to a report by Reuters citing Kyodo News.
The potential move is seen as a contingency plan to maintain business continuity should ongoing restructuring negotiations with creditors falter, sources say. Marelli, a core supplier to Nissan Motor, is currently engaged in discussions with lenders to secure additional financing.
In a statement to Reuters, Marelli declined to comment on what it described as market speculation, but confirmed it is operating normally while talks progress.
KKR acquired Marelli in 2017 and later merged it with Fiat Chrysler’s Magneti Marelli operations in a bid to create a global Tier 1 auto supplier. The company has since faced headwinds amid industry-wide supply chain disruptions and cost pressures.
