Panasonic & SANYO Start Discussions for Capital & Business Alliance
Nov 7, 2008 – Panasonic Corporation (NYSE: PC) and SANYO Electric Co., Ltd., have started discussions for a capital and business alliance between Panasonic and SANYO. The aim is to maximize both companies’ corporate values by pursuing synergies between the companies and strengthening initiatives to achieve potential revenue and profit growth. The combination would be the second largest electronics maker. Sanyo has a strong presence in green, renewable energy that should benefit from President-elect Barack Obama’s green energy initiative. Sanyo’s strengths in this area are with solar cells and rechargeable batteries, areas which are not prominent in Panasonic.
Through innovative thinking, Panasonic is committed to enriching people’s lives around the world and thereby contributing to the development of society and future of the world. SANYO has been seeking to become a “Leading provider of Environment- and Energy-related products.” SANYO would become a subsidiary of Panasonic.
In the Energy Business Domain, both Panasonic and SANYO will be able to utilize their complementary technology by cooperating with each other in order for both companies to contribute to the development of the rechargeable battery market as well as its provision of global sales networks in order to expand SANYO’s solar and energy businesses. In the Electronics Business Domain and the Ecology Business Domain, we can both expand the range of products and mutually utilize each other’s sales channels, in each of the digital, commercial, device and white goods businesses included in these domains. Moreover, we can aim to reduce the production and development cost through technical collaboration.
It is expected that the companies will make a further announcement at the end of December.
