NEWARK, Calif. & LAUSANNE, Switzerland--(BUSINESS WIRE)--
Logitech International (SIX: LOGN) (Nasdaq: LOGI) today announced that
it has agreed to acquire Jaybird
LLC of Salt Lake City, Utah, for approximately $50 million in cash,
with an additional earn-out of up to $45 million based on achievement of
growth targets over the next two years. Jaybird is a leader in wireless
audio wearables for sports and active lifestyles, a category the company
created in 2006.
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Logitech today announced that it has agreed to acquire Jaybird, a leader in wireless audio wearables for sports and active lifestyles. (Photo: Business Wire)
“Logitech and Jaybird share a passion for products,” said Bracken
Darrell, Logitech president and chief executive officer. “We’re
impressed by the technology, products and marketing Jaybird has brought
to this business. As one team, we can address the fast-growing wireless
audio wearables market with all the advantages of Jaybird’s strong brand
and sports expertise, and our combined audio engineering and design
capabilities. With both the Ultimate Ears and Jaybird brands in our
portfolio, we are expanding the long-term growth potential of our music
business.”
Judd Armstrong, founder and chief executive officer of Jaybird, said,
“It has been an incredible journey. We love what we do, and we’re stoked
to continue to innovate and bring amazing new products to our fans.
Jaybird will benefit from Logitech’s global distribution network and
deep engineering prowess. We’ve watched as they’ve connected incredible
products with passionate consumers under the UE brand, and we’re
thrilled to be part of the team.”
Jaybird has pioneered premium wireless audio for sports through its
focus on bringing music to active lifestyles. Their award-winning
BlueBuds X and, more recently, X2 wireless buds enjoy a strong following
among the active crowd. Whether their fans play on the slopes, on the
court, in the gym, on the dirt or the pavement, they trust Jaybird to
bring music to the experience.
Logitech does not expect the acquisition to materially impact its FY
2017 guidance, recently shared at the company’s Analyst and Investor Day
in March. The acquisition is subject to customary closing conditions and
is expected to close in the coming weeks.
Jaybird was provided financial advice exclusively by Stifel throughout
the acquisition process.
About Logitech
Logitech designs products that have an everyday place in people's lives,
connecting them to the digital experiences they care about. Over 30
years ago Logitech started connecting people through computers, and now
it’s designing products that bring people together through music,
gaming, video and computing, so they can create, achieve and enjoy
more. Founded in 1981, Logitech International is a Swiss public company
listed on the SIX Swiss Exchange (LOGN) and on the Nasdaq Global Select
Market (LOGI). Find Logitech at www.logitech.com,
the company
blog or @Logitech.
This press release contains forward-looking statements within the
meaning of the U.S. federal securities laws, including, without
limitation, statements regarding: growth in wireless audio wearables
market, growth in the long-term growth potential of our Music business,
global distribution and innovation of Jaybird products, fiscal year 2017
sales growth and operating income, and the timing of closing the
acquisition. These statements are subject to risks and uncertainties
that may cause actual results and events to differ materially, including
without limitation: if our product offerings, marketing activities and
investment prioritization decisions do not result in the sales,
profitability or profitability growth we expect, or when we expect it;
the demand of our customers and our consumers for our products and our
ability to accurately forecast it; if we fail to innovate and develop
new products in a timely and cost-effective manner for our new and
existing product categories; if we do not successfully execute on our
growth opportunities in our new product categories or our growth
opportunities are more limited than we expect; if sales of PC
peripherals are less than we expect; the effect of pricing, product,
marketing and other initiatives by our competitors; if our products and
marketing strategies fail to separate our products from competitors’
products; if we do not fully realize our goals to lower our costs and
improve our operating leverage; if there is a deterioration of business
and economic conditions in one or more of our sales regions or product
categories, or significant fluctuations in exchange rates. These risks
and uncertainties are detailed in Logitech’s filings with the Securities
and Exchange Commission, including its Quarterly Report on Form 10-Q for
the fiscal quarter ended December 31, 2015 and its Annual Report on Form
10-K for the fiscal year ended March 31, 2015, available at www.sec.gov,
under the caption Risk Factors and elsewhere. Logitech does not
undertake any obligation to update any forward-looking statements to
reflect new information or events or circumstances occurring after the
date of this press release.
2016 Logitech, Logicool, Logi and other Logitech marks are owned by
Logitech and may be registered. All other trademarks are the property of
their respective owners. For more information about Logitech and its
products, visit the company’s website at www.logitech.com.
(LOGIIR)
View source version on businesswire.com: http://www.businesswire.com/news/home/20160412006762/en/
Source: Logitech International