Sonova Holding AG, a leading provider of hearing solutions, has signed an agreement to acquire the Consumer Division from Sennheiser electronic GmbH & Co. KG. This includes Sennheiser consumer and audiophile headphones and hearables as well as Sennheiser’s other audio products, like soundbars. The purchase price for the Sennheiser Consumer Division amounts to EUR 200 million, which will be financed through the existing cash balance.
Sonova says the acquisition of Sennheiser’s line-up will complement its existing products while the distribution network represents “strong assets to further the strategy of Sonova.” Sonova will be looking to capitalize on new opportunities and growth areas, including true wireless headsets and speech enhanced hearables, as well as expand its channel presence and customer base.
The Sennheiser Consumer Division currently has around 600 employees contributing to this business area worldwide, generates sales of around EUR 250 million annually through a broad online and in-store distribution network.
“I am very pleased that Sennheiser has chosen Sonova to further develop the well-renowned Consumer Division,” says Arnd Kaldowski, CEO of Sonova. “We look forward to welcoming our new colleagues and to building on the combined strengths of both organizations to successfully shape our joint future. The fast-growing market for personal audio devices is rapidly evolving. Combining our audiological expertise with Sennheiser’s know-how in sound delivery, their great reputation as well as their high-quality products will allow us to expand our offering and to create important touchpoints with consumers earlier in their hearing journey. Combining our market-leading technology with the strong brand and well-established distribution network of Sennheiser creates a strong foundation for future growth.”
“We couldn’t have asked for a better partner than Sonova for our Consumer Division,” adds Daniel Sennheiser, co-CEO at Sennheiser. “Sonova is a strong, well-positioned company. Not only do we share a passion for unique audio experiences, we also share very similar corporate values. This gives us an excellent foundation for a successful future together.”
Continues Co-CEO Dr. Andreas Sennheiser: “The combination of our strengths provides a very good starting point for future growth. We are convinced that Sonova will strengthen the Sennheiser Consumer Division in the long term and capture the major growth opportunities.”
A licensing agreement on customary terms for the Sennheiser brand will be in place in perpetuity. The deal is expected to be EPS accretive immediately. Closing is foreseen in the second half of 2021 after obtaining the relevant regulatory approvals. Sonova was advised by Goldman Sachs International, Fieldfisher, and KPMG.