Sound United, Onkyo Consumer Audio Terminate Acquisition Agreement

Talks between Sound United and Onkyo Consumer Audio have broken down to result with the companies backing out of an acquisition agreement.

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In mid-May, Sound United LLC  announced the signing of a term-sheet agreement to acquire Onkyo Corporation’s consumer audio division that includes the Onkyo, Pioneer, Pioneer Elite, and Integra brands.

At the time, Sound United explains, the completion of the transaction was subject to several conditions, including the finalization of all definitive agreements, completion of satisfactory due diligence, securing of committed financing and various other required approvals.

Sound United has updated its announcement from this past spring by saying that both parties have mutually agreed that it is in the best interest of both organizations to terminate the proposed acquisition.

According to the company, after months of work and negotiations, it became apparent that all of the necessary closing conditions could not be satisfactorily achieved. 

Sound United emphasizes that it remains dedicated to its mission of “Bringing Joy to the World Through Sound.”

The company adds that it will continue to pursue this mission through organic growth with our existing brands and through opportunistic acquisitions which allow us to better serve the consumer.

About the Author

Robert Archer
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Robert Archer:

Bob is an audio enthusiast who has written about consumer electronics for various publications within Massachusetts before joining the staff of CE Pro in 2000. Bob is THX Level I certified, and he's also taken classes from the Imaging Science Foundation (ISF) and Home Acoustics Alliance (HAA). Bob also serves as the technology editor for CE Pro's sister publication Commercial Integrator. In addition, he's studied guitar and music theory at Sarrin Music Studios in Wakefield, Mass., and he also studies Kyokushin karate at 5 Dragons in Haverhill, Mass.

ARTICLE TOPICS:

Audio/VideoAmplifiers/ReceiversNews

ARTICLE TAGS:

Mergers and Acquisitions