Onkyo Corporation announced it has entered into a non-binding agreement to transfer its home audio/video business to Sound United.
For more information visit: www.onkyo.com
Unedited press release follows:
Onkyo Corporation and Sound United agree to combine forces
Osaka (Japan), May 15, 2019: Onkyo Corporation today announced that it has entered into a non-binding term sheet to transfer its Home AV business to Sound United. The term sheet will enable both companies to accelerate negotiations of definitive terms and agreements. Onkyo’s strong bench of brands will combine with Sound United’s brands Denon, Polk Audio, Marantz, Definitive Technology, HEOS, Classé, and Boston Acoustics to create the largest independent portfolio of premium Home AV brands available. Both groups develop, design, manufacture and distribute superior sounding, technologically advanced audio products that have delighted people around the world for decades.
For over 70 years Onkyo has earned an excellent reputation in its home country of Japan and around the globe for bringing together unparalleled Audio engineering with cutting edge technologies. In the past decade Onkyo has been quick to integrate digital capabilities including AI into its products and partner closely with some of Japan’s most well-known electronics and car makers. In March of 2015 Onkyo acquired Pioneer’s Home AV business bringing together two audio powerhouses and resulting in significant productivity increases, which not only strengthened profitability it resulted in a new class of mobile devices such as headphones, Digital Audio Players and smartphones.
Meanwhile with Denon, Polk Audio, Marantz, Definitive Technology, HEOS, Classé, and Boston Acoustics under its umbrella, Sound United has a deep line-up to meet various user needs and a strong global offering of products and brands. They maintain a strong position with premium brands that stems from their investments in technology and high-quality product offerings.
The two groups share a vision where high-quality audio permeates the home. As user needs shift and new players enter increasingly smart homes the combined mastery of these two groups is ideally positioned to drive WOW experiences at the intersection of sound, AI and IoT. This agreement is the first step towards an even stronger group united around sound that will continue to expand its footprint.
Onkyo Group will shift towards a stronger focus by defining new user experiences outside the home with its rapidly growing Digital Life business. It will also continue to expand its OEM and licensing business for audio related solutions in the car and white goods arena as these industries also evolve into a future that is much more digital and smart. Current distribution by Onkyo USA in the Americas and Aqipa in Europe will be unaffected by this transaction.