This plan is in align with the company’s desire to acquire Sanyo Electric for a sum close to $9 billion.
Sanyo’s strength is in rechargeable batteries (leader in Li-ion batteries) and solar cells (ranks 7th), which Panasonic considers as strategic areas.
“We needed to take drastic measures to secure growth amid a global economic downturn and structural changes in the electronics industry,” said Panasonic’s President, Fumio Ohtsubo.
When the two are combined it will create a giant manufacturer more competitive to ride out a worsening global downturn, with consolidated sales of more than 10 trillion yen, equal to Japan’s No 1 electronics and electrical machinery maker – Hitachi Ltd.
The Panasonic/Sanyo duo will also make for a powerful force in developing eco-friendly technologies, too.
Source: Nikkei (sub req)