Hitachi Launches Takeover Bid For Clarion

[Rich B 5,000+ posts]

Wed Oct 11, 3:44 AM ET

TOKYO, Oct 11 (Reuters) - Japan's Hitachi Ltd. said on Wednesday it will spend 23 billion yen ($192 million) to take control of car navigation systems maker Clarion Co. Ltd. at a 52 percent premium to boost its automotive equipment sales.

Greater sales would be a boon to Hitachi at a time when it is projecting a 55 billion yen ($460 million) group net loss this year and trying to consolidate its many operations, ranging from air conditioners to nuclear power plants.

Clarion makes car navigation and stereo systems, while Hitachi makes car control systems which are becoming increasingly complex, raising development costs and slicing profit margins.

http://news.yahoo.com/s/zd/20061011/tc_zd/191033;_ylt=AoMQGK5v1Taz.n85ltSs_Qms0NUE;_ylu=X3oDMTA3cjE0b2MwBHNlYwM3Mzg-

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[bballrrt06 10+ year member]

eh neither are exactly premium brands

 

[Rich B 5,000+ posts]

The article also mentions that both Kenwood and Alpine could become takeover targets now.

 

[Flipx99 5,000+ posts]

eh neither are exactly premium brands

I put my jig saw up against anything sold at Lowe's / Depot.

 

[GordonW 10+ year member]

eh neither are exactly premium brands

Well, if you've seen a Pioneer Elite HDTV, then you've seen Hitachi.

Hitachi makes some VERY HIGH QUALITY gear, both electronic and in the tool industry.

Should make for more consistent quality from Clarion... with Hitachi (ie HUGE manufacturing base!) behind them, there's no excuse for bad construction!

Regards,

Gordon.