Harmon Int. agrees to $7.8 billion buyout.

[Looneybomber]

Harman International Industries Inc. said it agreed to be acquired by Kohlberg Kravis Roberts and the private-equity arm of Goldman Sachs Group Inc. in a deal valued at roughly $7.8 billion.

The Washington, D.C.-based Harmon is the parent company for the popular Harman Kardon, JBL and Infinity brands which extend into the automotive, pro audio, and home theater industries.

Under the agreement, Harman shareholders can elect to exchange their shares for $120 a share in cash, or for shares of the new company. The bid can be calculated as being 17% over the current share price as of this week ($102.56 NYSE). The terms of the deal also permit the company to solicit other proposals over the next 50 days.

The transaction was unanimously approved by the Harman Board of Directors, following the recommendation of a Special Committee of independent directors. KKR initiated discussions with Harman and structured the transaction so that current Harman stockholders have the opportunity to participate in the future upside potential of the enterprise. The company will continue to be named Harman International Industries and Dr. Sidney Harman, Founder and Executive Chairman, will remain Executive Chairman (and currently owns 5% of the company's shares).

Dr. Harman stated: “We are pleased to reach an agreement with KKR and GSCP that is in the best interest of our stockholders, presenting them with excellent value for their shares and the opportunity to participate in Harman’s future growth. KKR and GSCP are two of the world’s leading private equity investors and our Board of Directors strongly believes that this transaction will create attractive long-term opportunities for our employees, customers and business partners. Together, we will continue to execute our strategic plan, capitalize on new opportunities, and build on our history of product innovation and service excellence.”

For more information, please visit http://www.harman.com.

http://www.audioholics.com/new....html

[PoorManQ45]

Interesting.

Hopefully this won't cause JBL and Infinity to get any worse

[Looneybomber]

That company reminds me a lot of The Gap. Inc.

Harmon Kardon = Banana RepublicInfinity = The GapJBL = Old Navy.

[PoorManQ45]

lol

[hannibal]

JBL and Infinity dont make decent car speakers?? I know theyre owned by Harmon, but didnt know they suck...

[Looneybomber]

JBL and Infinity dont make decent car speakers?? I know theyre owned by Harmon, but didnt know they suck...

They don't suck. I like Infinity and some JBL products aren't bad either. I even own a pair of infinity bookshelfs and an SW-12 sub. I also have a 12" JBL sub I am building an enclosure for (once I get tools since they got stolen).

Does Old Navy suck? For the money, they're good clothes IMO.Does The Gap suck? They're a bit more pricey, but have nice clothes.

So don't think we're bad mouthing them, PMQ was just hoping their quality doesn't suffer because of the buy out.

[hannibal]

Gotcha

[Simmsled]

That company reminds me a lot of The Gap. Inc.

Harmon Kardon = Banana RepublicInfinity = The GapJBL = Old Navy.

LMFAO!! Beautiful. So beautiful. did you know also that Mark Levinson is also part of harman international?