Strategy in TECH...
In a filing with Japan’s JASDAQ stock exchange, Onkyo revealed this week that at the end of June, major investor Gibson Brands became the largest shareholder for the first time since its relationship with the Osaka-based manufacturer of higher-quality electronics began in 2012. This small announcement portends a potentially significant change in the relationship between the two entities.
B. Riley & Co., a full service investment bank, announced the closing of a series of refinancing transactions that have completely restructured the outstanding significant debt of Gibson Brands, Inc. Gibson, as we have reported on regularly, entered the consumer electronics space back in 2012, investing in brands such as Onkyo/Integra, Teac, and buying Philips accessory business. Recently, the company appeared to be running into debt difficulties, perhaps from taking on debt to purchase these companies.
Gibson Brands announced Tuesday that it has hired Lee Cheng as its new Chief Operating Officer (COO) and executive vice president. This appointment takes effect immediately and follows a recent additional credit downgrade by the Moody’s Investor Service.
Just two weeks after we told you about Moody’s Investors Service downgrading Gibson Brands credit to junk status, the company has put two of their properties up for sale in an apparent effort to raise some much-needed cash. According to local reports, both properties contain warehouses and are located in redevelopment areas in downtown Nashville.
The music industry is positively buzzing about the announcement late last week by Moody’s Investors Service that, for the second time in three months, it has downgraded the credit rating of Nashville, Tennessee-based Gibson Brands. Gibson (formerly Gibson Guitars) is a tightly held private company that launched an aggressive diversification strategy a few years ago, focusing on acquiring several consumer electronics brands such as Onkyo Corp. and Teac, Corp. and recently Philips.
Gibson Brands (née Gibson Guitars) announced last week that it has opened a showroom in Tokyo, Japan that it calls a “pioneering music lifestyle concept showroom.” Although Gibson Brands owns many different brands, this particular showroom focuses on just three of them: Gibson Guitars, TEAC and Onkyo.
Oops, they did it again (to quote pop icon Brittney Spears) – Gibson Brands has acquired WOOX Innovations, a Singapore-based brand of accessory products, from owner Royal Philips, N.V., according to an announcement from Philips earlier this week. Another in a line of acquisitions in the consumer electronics space by Gibson, WOOX brings in a complementary line of products and international distribution into its portfolio. This is the second attempt to sell the division by Philips, who had a deal with Funai fall through late last year, resulting in legal action.
In a brief announcement today, Cabasse – a French loudspeaker manufacturer with a small niche following here in the U.S. – announced that it has appointed electronics brand Integra as its “exclusive” distributor for the United States. This new relationship takes effect retroactively to March 1, 2014.
Gibson Brands took advantage of the Consumer Electronics Show in Las Vegas to make a bit of a show of their own to celebrate 120 years in business. The company, which serves up 23 different brands of musical instruments, professional audio products and, more recently, consumer electronics products, chose a unique way to mark the occasion by going “Back to the Future.”
Gibson Brands announced this week that it it has signed a letter of intent with Roland Corp. and Cakewalk, Inc. to acquire Cakewalk Inc., a music software company, for an undisclosed amount. The deal is pursuant to the successful negotiation and execution of a definitive agreement.
And with acquisition, Gibson says it will launch a new brand, Tascam Professional Software to sell the Cakewalk product line. See more on this acquisition below… [Read more…] about Gibson Brands Strikes Again – Seeks to Acquire Cakewalk from Roland
