Bidders for troubled air bag maker Takata Corp. are leaning toward a court-mediated bankruptcy in Japan to shield them from liabilities, according to people familiar with the matter.

The company had opposed the move on concern it would disrupt the supply of replacement parts.

Takata, which is seeking a sponsor after triggering the biggest safety recall in automotive history, may name the buyer in February or March, according to the people, who asked not to be identified as the discussions are private.