Panasonic eyes growth with Viko acquisition

Panasonic eyes growth with Viko acquisition

Panasonic eyes growth with Viko acquisition

Japan’s giant Panasonic plans to reach over 70 countries from Turkey after its recent acquisition of Turkey-based Viko, company’s head Toshihide Arii says.

Japanese electronics conglomerate Panasonic plans to achieve growth in Turkey’s neighboring regions after it acquired a majority stake of Turkey-based electrical installation materials producer Viko this year, Viko by Panasonic Chairman Toshihide Arii has told the Hürriyet Daily News.

“Panasonic is already the market leader of the electrical switch and socket business in Asian countries. With the Viko acquisition, we aim to become number one in the world by 2018, on the 100th anniversary of Panasonic,” he said. 

Panasonic announced it would acquire a 90 percent stake in Viko in October 2013 for $460 million, and the deal was finalized at the beginning of this year.

The company’s target is now to get a larger market share in Africa, the Middle East and Europe, he noted, adding that Viko exports more than 25,000 different products to over 70 countries within a wide region, from Afghanistan to Sweden and from Russia to Angola.

“Despite the shrinkage in the Russian and Ukrainian markets due to political crises, we envisage preserving our market share in these markets and expect to grow 15 percent in Turkey and its neighboring markets,” he noted.

Apart from Turkey, the company is also the market leader in countries such as Kazakhstan, Uzbekistan, Kyrgyzstan, Georgia, Kosovo and Angola, he added.

Despite the latest rise in the construction industry, the construction materials market is still a new concept for Turkey and has the potential to reach up to $20 billion in volume, he said.