News
TC and Gibson merger collapses
Andy Wood Apr 10 2008, 12:00pm
Intensive effort fails corporate timeline
The proposed merger between the Danish-owned TC Group and US firm Gibson Guitar has been shelved.
The deal, which was announced at the NAMM 2008 show in Anaheim, California by both Gibson Guitar Chairman and CEO Henry Juszkiewicz and CEO of TC Group, Anders Fauerskov, has not gone through despite 'intensive effort' by both parties, according to a release from the TC Group.
TC Group brands include Lab.gruppen and Tannoy, plus TC subsidiaries in Canada, China, Denmark and Japan.
Henry Juszkiewicz, had originally heralded the deal with a view that it would 'revolutionize the music industry for many years to come.' As such, the new combined Gibson Guitar Corp was expected to be finalised by the end of February.
The announcement from TC's headquarters in Risskov, simply states that discussions on the potential merger have now ceased.
"The decision followed an intensive effort by both parties to consummate the deal within the targeted timeline," state TC, "but a number of issues remained unresolved, and both Gibson and TC agreed that it was best that the merger proceedings not continue.
"TC Group's goal is to continue to produce and distribute innovative and respected high-performance audio products for business partners around the world.
"Gibson Guitar remains loyal to its many customers and will continue to dedicate its future to producing the best musical instruments in the world while engaging and building its family of brands through innovative technology and potential new business partners."
gibson.com
tcgroup.tc
