Major Japanese auto parts maker Denso Corp has withdrawn its buyout proposal for semiconductor firm Rohm Co after failing to secure its support. Denso President Shinnosuke Hayashi announced the decision at a press conference in Nagoya. The company plans to further advance its current relationship with Rohm.
Denso Corp announced on Tuesday that its board has decided to withdraw its buyout proposal for Rohm Co, having failed to secure the semiconductor maker's support.
"Even if we continued discussions any further, we could not envision a scenario at this stage that would enhance the value of both companies," President Shinnosuke Hayashi said at a press conference in Nagoya regarding earnings for the year ended March 2026. He noted that the talks had deepened understanding in technology development and manufacturing, adding, "We will seek to enhance our value by further advancing our current relationship."
Denso had proposed in February to acquire all outstanding shares of Rohm as part of efforts to strengthen its semiconductor business. Rohm established a special committee of outside directors to examine the proposal but announced on March 27 that it had begun talks with Mitsubishi Electric Corp and Toshiba Corp on business integration.
The withdrawal indicates that realignment in the power semiconductor sector may now center on discussions involving Rohm, Mitsubishi Electric, and Toshiba. Power chips are widely used for power control in electric vehicles and industrial devices.