VOXX International and Sharp Agree to Acquire Onkyo for $30.8M
The story with Onkyo was practically resolved: the company issued a press release in which it announced that VOXX International and Sharp had reached an agreement and would acquire Onkyo for $ 30.8 million. The final decision will be made at a shareholders meeting scheduled for June 25. For the first time, the talks became known in mid-May.
Interestingly, VOXX and Sharp are buying the AV division without the Pioneer and Pioneer Elite brands – only Onkyo and Integra. Onkyo itself is licensed for Pioneer and Pioneer Elite, and it is possible that VOXX and Sharp will also be licensed in further discussions.
Since distributing Onkyo and Integra in the United States in mid-2020, interest in these brands has only grown since the launch of Onkyo and Integra in the US in mid-2020, says Pat Lavelle, CEO of VOXX. And together with the production facilities of Sharp and the already built distribution network, the business can be developed.
It will take time to set up production, procure components and other issues, but the future of the Onkyo brand for the head of VOXX looks optimistic.
Sharp’s Malaysian plant was originally built by Onkyo. But due to financial problems, the company partnered with Sharp, selling part of the plant. The current deal will give Sharp and VOXX the intellectual property rights, trademarks, technology and manufacturing of Onkyo’s AV division.
The Premium Audio Company Holding, which is owned by VOXX, will handle distribution, sales and marketing. In the Americas, another VOXX subsidiary, 11 Trading Company, will take over this role.
