twice connect
careers

Panasonic, Sanyo Deal Sealed, Say Reports

12/18/2008 11:18:00 AM Eastern

New York — Panasonic has agreed to buy Sanyo, according to a variety of reports from Japan.

Both companies issued statements earlier today saying little, but Sanyo’s release said it is still “in discussions about the possibility of a Capital and Business Alliance.”

While the value of the deal varies in these, reports agree that Panasonic will offer 131 yen per Sanyo share, 1 yen more than it offered earlier this month. This confirms what TWICE has heard from industry sources.

Supposedly, Panasonic and Sanyo will hold a joint press conference on Friday in Japan to announce the deal. This is in keeping when they began initial talks during November, when both said they would announce an update on their meetings by the end of December.

In November, both firms said that Sanyo’s investments in solar energy and battery technologies would complement similar efforts by Panasonic. And Seiichiro Sano, CEO of Sanyo, was quoted as saying the reason for his company’s interest in a deal came about fast because, "After the financial crisis that hit in September, I felt the need to come up with specific solutions, and quickly."

The worldwide financial crisis has had a direct bearing on this deal, with Goldman Sachs, which reported its first quarterly loss yesterday since going public, Sumitomo Mitsui Banking and Daiwa Securities SMBC owning 70 percent of Sanyo.

Want to read more stories like this?
Get our Free Newsletter Here!