Samsung Electronics announced the acquisition of renowned manufacturer of audio equipment Harman International Industries.
The amount of the transaction amounted to $ 8 billion ($112 per share), which is 28% higher than the current market value of the company.
Lawyers on both sides will close the deal by mid-2017, following approval by shareholders and state regulators. Harman will continue as an independent unit of Samsung with preservation of head office employees and senior executives.
After buying unrecordable manufacturer will be 8 000 engineers and developers, as well as a number of popular brands owned by Harman. Among them: Harman/Kardon, JBL, AKG, Infinity, Mark Levinson, Lexicon, Revel and Bang & Olufsen. They will be featured in smartphones, tablets, wearable electronics and other Samsung devices.
According to analysts, the main goal of the South Korean giant to take a share in the growing automotive electronics market. Harman audio system is equipped with more than 30 million cars worldwide. According to forecasts, by 2025 the volume of automotive electronics market will come close to around $ 100 billion.