Audiovox Reaches Agreement to Buy Klipsch
Audiovox announced Thursday that it has reached a definitive agreement to acquire Klipsch Group. The companies had announced during CES last month that they had reached a non-binding term sheet that was subject to contingencies.
The deal, for $166 million, will be financed by a combination of cash and an asset-based revolving credit facility. The transaction is expected to close within 30 days.
Klipsch will become a wholly-owned subsidiary of Audiovox and will continue to be run separately in Indianapolis.
"This transaction will add the world renowned Klipsch Group brands- Klipsch, Jamo, Energy and Mirage- and its world class management team- to the growing Audiovox family of companies," Audiovox CEO Patrick LaVelle said in a statement. "This highly respected company has for over 60 years been synonymous with premium high-end audio solutions, and today enjoys the well-deserved reputation as 'The' preeminent audio brand for residential, professional and personal listening use."