Niterra, formerly NGK Spark Plug, “expects the continued demand for internal combustion engines parts. The entire industry requires responses corresponding to short, medium, and long-term stages. Consequently, the Company has reached a basic agreement to start discussions and considerations for the acquisition, to consider how to sustain the supply of internal combustion engines parts,” according to a statement from the company.

Both companies have operations in North America, but it is not yet clear how the transfer will affect those operations.

Denso ranks No. 2 on the Automotive News list of the top 100 global suppliers with estimated worldwide sales to automakers of $47.9 billion in 2022, with about $11.26 billion of that in North America.

Niterra ranks No. 80 on that same list, with estimated worldwide sales to automakers of $2.7 billion in 2022 — with about $676 million in North America, according to Automotive News data.