Onkyo and Pioneer set to join forces

Onkyo and Pioneer look set to join forces and form a "capital/business alliance" in the AV world, according to a brief statement released by the two companies today.

"Pioneer Corporation, Onkyo Corporation and Baring Private Equity Asia have reached a basic agreement to commence discussions with an eye to integrating a part of Home AV business operations between Pioneer and Onkyo", the statement read.

"Both companies will retain their existing brands, and increase their corporate value," according to the announcement.

There's no mention of Gibson Guitar, the company which formed an alliance with Onkyo back in 2012 and has since bought TEAC and Woox Innovations, previously a division of Philips.

Today's statement didn't give much away, though we're told that more details should emerge later this week. Pioneer's Dolby Atmos event on Wednesday could perhaps see some clarification.

MORE: Pioneer readies Dolby Atmos AV products

The statement continued, "A portion of shares in Pioneer Home Electronics Corporation, a wholly-owned subsidiary of Pioneer, will be transferred to Baring and Onkyo.

"After the transfer, Baring will have 51% stake in PHE. The remaining 49% will be determined in consultation between the related parties."

Changes in the wider AV market and a shift from analogue to digital equipment were also cited as reasons for the companies to adapt and, it seems, join forces.

"Pioneer and Onkyo will make an effort to increase competitiveness by capitalizing on the resources of the two companies such as strong brand power and superior technologies.

"Also, the capital participation of Baring will maximize synergies including business expansion." That's enough corporate jargon for today...

The news sent Pioneer shares up 4 per cent and shares in Onkyo surged as much as 12.6 per cent

The three parties aim to close the deal by the end of August, said a Tokyo-based spokesman for Baring Private Equity, as reported by Reuters.

We will endeavour to find out more details on the deal and what it means for the future of Onkyo and Pioneer AV products in due course.

MORE: Onkyo launches Dolby Atmos amps and speakers

by Joe Cox

Follow whathifi.com on Twitter

Join us on Facebook

Find us on Google+

Joe Cox
Content Director

Joe is the Content Director for What Hi-Fi? and Future’s Product Testing, having previously been the Global Editor-in-Chief of What Hi-Fi?. He has worked on What Hi-Fi? across the print magazine and website for almost 20 years, writing news, reviews and features on everything from turntables to TVs, headphones to hi-fi separates. He has covered product launch events across the world, from Apple to Technics, Sony and Samsung; reported from CES, the Bristol Show, and Munich High End for many years; and written for sites such as the BBC, Stuff and The Guardian. In his spare time, he enjoys expanding his vinyl collection and cycling (not at the same time).

Latest in AV
Amazon Spring Deal Days 2025 promotional image with Amazon boxes
Amazon Big Spring Sale live: our TV and headphone experts’ real-time buying advice
A render of a couple watching TV in a living room with green beams used to illustrate the sound coming from the soundbar and various other speakers.
Eclipsa Audio: everything you need to know about Samsung’s new Dolby Atmos rival
Samsung QN990F 8K TV with Rewind logo
A sneak peek at Samsung’s futuristic projector, OLED TV’s next evolution, a new Audiolab stereo amp and more
Sony RGB arrangement with Rewind logo
A sneak peek at Sony's next-gen TV tech, our love letter to hi-fi shops, a high-end amp tested and more
LG C5 on stand with Rewind logo
The LG C5 OLED TV tested, a world first for headphones, new hi-fi speakers and more
Pick Of The Month March 2025 5-star products on grey background
WiiM strikes again, the B&W Zeppelin Pro impresses while Technics' latest turntable earns five-stars
Latest in News
Sony WF-C710N earbuds lined up in different finishes
They’re official! Sony finally takes the wraps off its WF-C710N budget wireless earbuds
A flower on a TV screen with a gem in the middle.
TCL's new Mini LED TV range comes with huge brightness gains, reduced blooming and souped-up sound
Sony WH-1000XM4 on a table with a plant
Some of our favourite-ever five-star wireless headphones have plummeted to nearly half price – £172 off!
RCA Roku TV 24-inch (RK24HF1) small TV
My favourite kitchen TV has dropped to under £100 for Amazon Spring Deal Days
Sony XR-48A90K
Amazon has slashed the price of this five-star Sony OLED, but we have found an even better deal
Fiio FX17 in-ear headphones
Fiio's flagship in-ear headphones are packed full of drivers to put your music in pole position