Panasonic could acquire major stake in Sanyo Electric

Panasonic could acquire major stake in Sanyo Electric

Market sources are stating that Panasonic might be in talks to acquire a majority stake in smaller rival Sanyo Electric.

Panasonic is said to be in talks with Goldman Sachs and some other shareholders in the company including Daiwa Securities SMBC, Sumitomo Mitsui Banking Corp.

If this deal is indeed signed on, it would make Panasonic Japan’s top electronics company in terms of sales.

Market analyst Masayoshi Okamoto spoke about the prevailing market situation: “This appears to be the kind of deal where you add one and one and get three, instead of two. Their battery operations would truly be world-class. Some Japanese companies are buying overseas firms to expand their operations abroad. But buying Japanese peers with strong products and consolidate the domestic industry, like what Panasonic is doing here, could be a short cut to profit and expansion.”