Panasonic Connect Introduce
Panasonic Connect Co., Ltd., established on April 1, 2022, is part of Panasonic Corporation's transformation into an operating company system, which grants individual companies autonomy in their operations. It was formerly known as Panasonic System Solutions Japan Co., Ltd. With the renaming, the company also adopted a new brand logo. The headquarters is located in Tokyo, Japan, and it provides products and solutions for supply chains, public services, infrastructure, and entertainment sectors.
Panasonic and Connect logo
Founded: April 1, 2022
Headquarters: Sumitomo Fudosan Shiodome Hamarikyu Building, 8-21-1 Ginza, Chuo-ku, Tokyo 104-0061,
CEO: Yasu Higuchi
Panasonic sells high-end projector business
Panasonic Holdings' subsidiary Panasonic Connect plans to exit its high-end projector business as the company focuses resources on digital supply chain systems.
Panasonic Connect will decide on a buyer for the business as early as June, with an expected sale price of 80 billion yen ($510 million).
The divestiture will raise funds to expand Panasonic Connect's systems business, which is centered around U.S. supply chain software developer Blue Yonder, a key growth area.
Japanese financial services group Orix and at least one international investment fund have expressed interest as potential buyers of the projector business, according to sources.
Panasonic Connect is one of the world's leading companies in the field of high-end projectors for large venues, having supplied projectors for global events such as the 2020 Tokyo Olympics.
The company has not disclosed the latest annual sales for the projector business, but the media and entertainment division that includes projectors reported sales of 111 billion yen for the full year through March 2024.
Reason for sale
Panasonic Holdings acquired Blue Yonder for over $7 billion in 2021. Proceeds from the projector business sale will be used to acquire another supply chain software developer.
For Panasonic Holdings, shedding the projector business would mark its largest divestment since announcing the sale of Panasonic Automotive Systems to U.S. private equity firm Apollo Global Management last year.
Panasonic Holdings is pursuing a three-pronged growth strategy in electric vehicle batteries, heat pumps and supply chain management. The company plans to invest nearly 600 billion yen in the EV battery business over the three years through fiscal 2024.
With uncertainty looming over the battery field due to slowing growth in EV sales, Panasonic Connect's systems business could become one of the swing factors for the group's profit growth.