Sanyo and Kyocera seal the deal – Sanyo selling mobile phone unit to Kyocera

It’s been a long time in the making and we’re glad to hear that long-rumored Sanyo buy-out candidate Kyocera has finally sealed the deal with Sanyo (OTCPK: SANYY). As you may recall, Sanyo’s mobile phone unit has struggled to turn a profit, and so put their cellphone-manufacturing arm on the auction block. Kyocera (NYSE: KYO) is said to be putting up $378 – $472 million to take Sanyo’s mobile phone manufacturing unit of its hands – making the the world’s 6th largest mobile phone maker.

Now, the deal is expected by some to help boost Kyocera’s market share and presence on the global market. Still, there are analysts that don’t see any benefit in a deal between two low-key market players. Japan’s mobile phone industry is incredibly fragmented (there are no fewer than 10 cellphone manufacturers in the island-nation), and has failed to gain a foothold in the face of larger global players like Nokia, Motorola (NYSE: MOT), and Samsung.

Kyocera is liking blowing their $378 – $472 million wad to gain that 6th place ranking, and not much more. Good luck with that whole market-share nonsense.

[Via: Financial Times]