Samsung completes Harman acquisition
WORLD: Samsung Electronics has completed its acquisition of Harman International following ‘the satisfaction of all conditions to the closing of the transaction, including approval of the transaction by Harman stockholders and receipt of all necessary regulatory approvals in the United States and certain foreign jurisdictions’.
Harman president and CEO, Dinesh Paliwal, will retain his role alongside the company’s existing management team. Samsung has stated its intentions to retain the Harman work force, headquarters and facilities, as well as all of its consumer and professional audio brands.
‘The close of this transaction opens the door to create substantial growth opportunities and deliver greater benefits for customers worldwide,’ said Young Sohn, president and chief strategy officer at Samsung Electronics and chairman of the board at Harman. ‘Bringing together Harman’s iconic audio brands and capabilities paired with Samsung’s leading display technologies will deliver enhanced audio and video experiences to consumers and professional end markets.’
‘We are excited to have completed the transaction, which provides compelling cash value to our stockholders, benefits our customers and provides new opportunities for our employees,’ commented Mr Paliwal. ‘Samsung provides Harman with the scale, platform and complementary technologies to accelerate growth and extend our global market leadership in automotive, smart audio and connected technologies.’
Following completion of the acquisition, Harman’s common stock has ceased trading and has been delisted from the NYSE. All Harman stockholders are set to receive $120.00 per share.
The acquisition was driven by Harman’s presence in the automotive and consumer sectors, the automotive sector accounting for approximately 65 per cent of Harman’s US$7 billion of reported sales. ‘We see transformative opportunities in the car – and a future which seamlessly connects lifestyle across automotive, home, mobile and work,’ noted Mr Sohn. ‘Samsung’s and Harman’s leadership in these spaces perfectly positions Samsung to be the preferred partner to our OEM customers.’