First, KKR bought Japan's Calsonic Kansei from Nissan Motor Corp., injecting Nissan with cash and completing Nissan's divestiture of its tangled keiretsu system of parts makers. Then, KKR had Calsonic Kansei buy Magneti Marelli from Fiat Chrysler, helping FCA get that supplier off its books.
But now after three years, the combined supplier needs a lifeline of its own.
It emerged this week that troubled Marelli is asking its main financial institution, Japan's Mizuho Bank, and other lenders for extra time to pay off debt as it scrambles to restructure.
Japanese media, which reported the development, said the company is buried in some ¥1.1 trillion ($9.52 billion) in debt. Finances at Marelli are murky because it is privately held by KKR, but the Nikkei newspaper reported that the supplier likely booked its fourth-straight year of losses in 2021.