As part of the turnaround plan, Marelli is seeking the cancellation of about 450 billion yen ($3.5 billion) in debt, out of obligations of about 1.13 trillion yen, Bloomberg reported.
There are no signs of any imminent structural change in the three-way alliance that includes Mitsubishi Motors Corp.
The latest announcement builds on a string of initiatives CEO Toshihiro Mibe is taking to make the lineup at Japan’s No. 2 automaker completely gasoline-free by 2040.
The supplier, previously owned by Fiat Chrysler Automobiles, carried at least $9.5 billion in total debt as of September, sources told Bloomberg. Marelli is the world's 18th largest auto supplier.