Panasonic has apparently reached to a preliminary agreement to buy Sanyo Electric Co. and presidents of the two companies will hold a press conference on November 7th to announce details of the acquisition.
The world’s largest maker of consumer electronics plans to keep the Sanyo brand, most of its employees, and make the company a subsidiary by around April next year. To accomplish this task, they will buy Sanyo’s preferred shares from Sumitomo Mitsui Banking Corp., Daiwa Securities SMBC Co. and Goldman Sachs Group Inc.
The deal would create a mega-corporation with revenues over ¥11.2 trillion, which is around $110 billion.
The world is in the economic crisis and smart companies with tons of cash are in the buying spree. I would expect to see more similar deals taking place in the near future. Stay tuned…