Panasonic Connect has announced that it has reached an agreement on a capital partnership with Orix Corporation regarding the company’s projector business and related operations. Aiming for sustainable business growth and market expansion, both parties plan to establish a new company to operate the business.
Both Orix and Panasonic Connect will establish a new company based on Panasonic’s Media Entertainment Business Division (MEBD). With Orix holding 80% of the shares, target products will continue to carry the Panasonic brand, and the new company will continue to use the Panasonic name in the short term. Since the commercialisation of its first cathode ray tube (CRT) projector in 1975, the company has established a strong position in the visual solutions business by capturing a leading market share in high-brightness projectors.
Panasonic Connect said that significant changes in the competitive environment in the market have arisen due to the emergence of applied technologies and the demand for immersive experiences. Therefore, to achieve in-organic growth and further market expansion going forward, the company has deemed that it will be necessary to strengthen operations and make continual investments.
Panasonic Connect and Orix have determined that further growth can be achieved by combining the former’s technological expertise and customer base, with the investment power Orix holds in addition to the experience cultivated through business investments in numerous companies, including manufacturing and large corporations.
Through the partnership, Panasonic Connect aims to leverage Orix’s business investment experience and pursue strategies for in-organic growth, along with continuous investment for technological development in hardware technology and the construction and execution of strategic alliances on a global scale.
The capital partnership is scheduled to be established out of the MEBD division in April 2025. Overseas subsidiaries will be established from the sales functions of that division in North America, Europe, China, Australia, Singapore and other regions to be operated by the new company. Panasonic Connect’s Gemba Solutions Company will continue to handle domestic sales in Japan.
