Moody's Ratings downgraded Japanese motor manufacturer Nidec's senior unsecured rating on Thursday. The rating fell three notches, moving from Baa3 to Ba3. This action pushes Nidec into non-investment grade territory.
Concerns over financial disclosure reliability and identified governance risks prompted the downgrade.
Moody's assigned Nidec a negative outlook. This reflects potential for further rating pressure.
The pressure hinges on findings from an ongoing third-party investigation into potential accounting irregularities. Moody's also withdrew Nidec's Baa3 issuer rating.