B&O would listen to potential buyer of company
https://www.thisismoney.co.uk/money/markets/article-7388863/Luxury-TV-speaker-maker-Bang-Olufsen-looking-buyers-string-profit-warnings.html#comments
Looks there is doubts whether the current management can turn the company around. My 2 cents is that B&O needs to focus on their retail strategy and streamline their product line. At least in the US it is almost impossible to find a store. Also, they should have fewer products with the Beolab 18 as their top end product. The Beoplay and OEM business lines are profitable or close to IMHO.
As for a buyer, most likely suited is a PÉ company that will focus on Beoplay and more emphasis on mass market availability. B&W and others have all been acquired as well...
most likely suited is a PÉ company
The PE (Privat Equity) solution is probably the only solution, that could manage a hard turn around. By getting ride of all the low performer, overstrained and dreamer of the good old times at the B&O headquarter in Struer.
Private Equity will not be interested in B&O.
PE funds generally like companies which they can leverage up with debt, and with a clear exit strategy to relist the equity 5 years down the road.
Those get companies often have simple operational inefficiencies, not large R&D / investment requirements, and have financial metrics that can support high debt loads for 5 years. B&O does not fit the bill.
Trust me, PE will not be interested, not even from an undervalued IP point of view.
B&O are stuck with a trade buyer (Apple, Google, another audio company), or an opportunistic investor ( a la Sparkleroll) who dont necessarily bring anything to the table. Or continuing to be independent.
To me a trade buyer would be best, Apple ideally, or maybe even Sonos, though their market cap is very similar to B&O, so that seems unlikely. Anyone but Google or Amazon.
To me a trade buyer would be best, Apple ideally, or maybe even Sonos, though their market cap is very similar to B&O, so that seems unlikely. Anyone but Google or Amazon.
There is no way Apple would be interested!
Regardless of what you think of Apple their hardware is in a completely different league than B&O, and they can leverage the power of true mass production!
And they own a good deal of the ecosystem!
Agreed, I said Apple would be best, not likely at all though.
Apple’s been public about t
My B&O Icons:
One word... Apple.
Agreed, which is why its very unlikely at best.
With Ive now operating from the outside, they may feel B&O offers them some design chops perhaps.
Anyway, I give this little further thought, as it's altogether a 0-5% chance max.
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