A few weeks ago the Yomiuri News on-line reported the following:
On the 24th (June) Pioneer the electrical equipment manufacturer announced that it had reached a basic agreement to sell off its core business in sound and image (AV) equipment, which was continuously having poor business, to another audio equipment maker "Onkyo" (Osaka), and also to an investment fund in Hong Kong.
Pioneer would sell off 51% of the stocks of its wholly-owned subsidiary "Pioneer Home Electronics" which was responsible for audio component stereo and home theater etc. to an investment fund in
Hong Kong. Regarding the
remaining stocks, a fixed portion would be sold to Onkyo by the end of August while the rest would continue be kept by Pioneer.
After this sale, the brands of Onkyo and Pioneer would maintain their connection, they would share the supply of parts and the design of products etc., aiming at some profit improvement.
The sales of Pioneer's AV equipment business represented about twenty percent of the whole enterprise. What was left behind would include the business on headphones etc. The business on car-navigation systems etc. which occupied about 70 percent of sales would be regarded as the pillar of growth, and a centralization of management resources was being planned.
"Pioneer” is a famous brand name in audio equipment and home theater etc. Hong Kong people have heard of this brand name many years ago.