Pioneer has agreed to sell its DJ business to a private equity firm KKR for $551 million, according to Reuters News.
Pioneer’s DJ division has seen a lot of success over the years with their CDJs in every night club and bar in the world, and the company recently announced they were getting back into vinyl players with the release of the PLX-1000 turntable.
The news comes as Pioneer also sold off its audio-visual division to a Japanese audio company Onkyo last week.
Apparently Pioneer are selling off non-essential assets to focus on their automotive business where it sees potential growth as cars become more connected.
When the deal is concluded in March, Pioneer will still own a 15% stake of the newly formed business, dubbed Pioneer DJ, but the majority will be sold to KKR.
“We’re trying to transform our auto-related business and are investing a lot into that and realised we had to concentrate our resources,” explain Chief Executive and President Susumu Kotani at a media briefing held in Tokyo on Tuesday.
“We realised we wouldn’t be able to invest in the DJ business so it would be better to spin it off and grow it independently.”