SR/Live Sat, November 22, 2008

Posted by Keith Clark,

Yamaha Corporation Japan has announced that its board of directors has decided to make an acquisition offer to the founders of NEXO S.A. In June 2005, Yamaha purchased a 10.22 percent interest in NEXO, and since then, the two entities have collaborated on the development of products such as the NXAMP Powered Digital TD controller.

“The offer to purchase NEXO by our parent company Yamaha Corporation Japan is a very positive move for both companies,” states Larry Italia, Vice President/General Manager, Yamaha Commercial Audio Systems. “Right now, it is business as usual for us, our dealers and our customers.”

In a statement from Yamaha, the company states that its board made the decision to proceed with the offer during a meeting held earlier this month (June 19, 2008). According to the statement, “Yamaha came to the conclusion that its joint activities with NEXO would generate results at a substantially accelerated pace if the two companies could work in closer cooperation. Accordingly, Yamaha decided to take steps toward making NEXO a wholly owned subsidiary of the Yamaha Group by offering to acquire the shares of the founders and, thereafter, launching a tender offer to acquire the remainder of NEXO’s shares on the market.”

The statement continues, “After NEXO becomes a subsidiary, Yamaha will continue and further develop the NEXO brand as well as its know-how, and strengthen capabilities for creating system solutions by advancing the position of NEXO and Yamaha in speaker technology. Yamaha will also work to enhance its development capabilities in existing product lines and strengthen its production capacity through the use of NEXO’s production facilities.”

If agreed upon, the sale would be concluded later this year.

For more information:
Yamaha Pro Audio Home Page
Nexo Home Page