Audiovox announced it completed the acquisition of Klipsch, as first announced in January, for around $166 million. Could this mean Klipsch car audio speakers are in the offing?
Details of the purchase will be announced next week, March 8 in a conference call.
Klipsch is now a wholly owned subsidiary of Audiovox Corporation and will operate as a stand-alone company, headquartered in Indianapolis and run by its current management team.
Audiovox says the purchase should generate about $170 million in net sales for its coming fiscal year ending in February 2012. Revenue for the combined companies should reach about $730 million.
Under the deal, Audiovox gets access “into the high-end installation market at both the residential and commercial level,” said Audiovox Corp. head Pat Lavelle. He added that Audiovox intends to maintain Klipsch’s first rate R&D capabilities and quality reputation.
Audiovox also gains access to International distribution as Klipsch is offered throughout the Americas and the Asia-Pacific region.
Klipsch chief Fred Klipsch, said, “I …have no doubt that together we will successfully execute on our growth plans, expand our market positions in both our core areas and new markets, while never losing sight of the brand, the quality and our customers. Klipsch will always be dedicated to providing consumers with the best speaker solutions the industry has to offer…
Source: Audiovox Corp.
yeah nice
Ok.. when can I get my employee discount on some new home theater stuff? 🙂
Although Audiovox is not at the top of the price scale,they are the number one supplier of Mobile video products. They also have working capital as evidenced by their purchase of Klipsch.
Fred – good for you and your family.
Klipsch has been buying up speaker companies for years now. (API & Jamo) I am concerned about how the other Klipsch group brands will be treated. Audiovox isn’t exactly know for high end product…