Kyosho Sold?

[tamiya3speed 463]

I wonder what this means for the rere scene?

 

http://www.bigsquidrc.com/new-ownership-for-kyosho/

[WillyChang 1814]

Oh shoot 

Quote

“For Further Enhancing Kyosho Brand And Customer Satisfaction:

Effective April 13, 2018, we are pleased to announce that we made a fresh start under new corporate management setup under sponsorship of Shinsei Rembrandt Partners 1st Investment Limited Partnership (the “Sponsor”), co-managed by Shinsei Corporate Investment Limited, a private equity affiliate of Shinsei Bank, and Rembrandt Investment Co., Ltd..

We would also like to announce that, during the extraordinary shareholders’ meeting followed by the board of directors’ meeting held on April 13, 2018, our new management structure has been confirmed as below. Welcoming 5 (five) outside directors appointed by the Sponsor and taking full advantage of their broad knowledge and talents, we all will strive hard at every level for further accelerating growth of our corporate value.

New Management Structure

President　Katsumi Watanabe　
Senior Managing Director　Yoshiaki Morimoto　
Outside Director　Ippei Matsubara　CEO, Shinsei Corporate Investment Limited
Outside Director　Takahisa Komatsu　CFO, Rembrandt Holdings Co., Ltd.
Outside Director　Kazutaka Yamada　Managing Director, Shinsei Corporate Investment Limited
Outside Director　Masaki Yahagi　Deputy Manager, Management Planning Department, Rembrandt Holdings Co., Ltd.
Outside Director　Kenji Tanaka　CEO, Gordon Brothers Japan Co., Ltd.
Outside Auditor　Tetsuya Kubota　CPA, Tetsuya Kubota CPA Office
In addition, Akihisa Suzuki, the former president and CEO, will serve as our corporate advisor and provide us with his advices from various aspects, such as product planning, production, marketing, etc., for our company’s rebirth.

We look forward to your continuous support and cooperation in future.

Thank you.”

It's a PRIVATE EQUITY mob...!  

Tell me even ONE private equity mob that's bought in & then actually done some good for the underlying biz!?

If the biz is inherently healthy they're like leeches taking a feed trying to triple their money back.

If their M&A dept has somehow optimistically overestimated the future cashflows... they could crash & burn like Hindenburg... & Toys R Us & Dick Smith & Myers &.... 

I can only wish them well GAMBATTE!! 

 

Interesting they've sold out to Japanese private equity... I had earlier thought someone like ThunderTiger or some Taiwanese or Chinese RC maker might be their buyers.

[MadInventor 3884]

6 hours ago, WillyChang said:

Oh shoot 

It's a PRIVATE EQUITY mob...!  

Tell me even ONE private equity mob that's bought in & then actually done some good for the underlying biz!?

If the biz is inherently healthy they're like leeches taking a feed trying to triple their money back.

If their M&A dept has somehow optimistically overestimated the future cashflows... they could crash & burn like Hindenburg... & Toys R Us & Dick Smith & Myers &.... 

I can only wish them well GAMBATTE!! 

 

Interesting they've sold out to Japanese private equity... I had earlier thought someone like ThunderTiger or some Taiwanese or Chinese RC maker might be their buyers.

This 'we all will strive hard at every level for further accelerating growth of our corporate value.'  reads as rapidly increase share price and profitability for the shareholders. They'll probably all be on huge bonuses if the share price goes up by X.

I feel sorry for the staff. First thing they'll do is tell them they all have to sign new contracts if they want to ever see a pay rise ever again, which will probably include a clause to reduce redundancy terms and conditions, then fire 1/3 of them and expect the rest to take up slack to increase the 'efficiency' of the company in the short term.

[Mokei Kagaku 2706]

You three have probably said all that there is to say. I think this is sad indeed, and I don't expect this to be good for Kyosho's future.  In fact, I don't think the company will survive/be allowed to survive. I'd happily be wrong though.

[WillyChang 1814]

6 hours ago, MadInventor said:

This 'we all will strive hard at every level for further accelerating growth of our corporate value.'  reads as rapidly increase share price and profitability for the shareholders.

oh I just subconsciously read that as "we're gleefully rubbing our hands in anticipation of doubling prices on the coming re-releases as you suckers out there are so willing to pay big bux for old tat" 

Optima Mid 2019 here we come... $800 

6 hours ago, MadInventor said:

I feel sorry for the staff. First thing they'll do is tell them they all have to sign new contracts if they want to ever see a pay rise ever again, which will probably include a clause to reduce redundancy terms and conditions, then fire 1/3 of them and expect the rest to take up slack to increase the 'efficiency' of the company in the short term.

we had a saying for that back in cubicle life... BOHICA!! 

 

[Carrera124 80]

That's bad news. I really like Kyosho products. But for some strange reason, they do not appeal to me that much as Tamiya products do.
I own a couple of Mini-Z cars, and I bought all Re-Re Buggies except the Beetle. I am also considering to buy a Blizzard or a Motobike.

But their standard buggy and touring car range... I never considered buying one of those.

I really hope that Kyosho will stay operational, and continue their great stuff like Mini-Z and the Re-Releases. And of course, also their standard range.

[Hibernaculum 933]

On 4/18/2018 at 12:37 PM, WillyChang said:

Oh shoot 

It's a PRIVATE EQUITY mob...! 

If their M&A dept has somehow optimistically overestimated the future cashflows... they could crash & burn like Hindenburg... & Toys R Us & Dick Smith & Myers &.... 

Interesting they've sold out to Japanese private equity... I had earlier thought someone like ThunderTiger or some Taiwanese or Chinese RC maker might be their buyers.

+1 from me.  Just dropped by, and saw this thread.

For all we know, this equity group could drive the Kyosho company into the ground for final profit. It has happened in several cases recently.

Chinese buyout would have hurt even more, frankly. But I suppose Kyosho are already manufacturing stuff in China and Taiwan, so, what's the difference. I am not interested in any of their Chinese product.

The old ways are lost.

Long live Kyosho's heyday in the 1970s and 1980s. The same heyday for the R/C hobby in general. The kits of that era will always be the most special, interesting and desirable, to me anyway. Designed with passion, innovation and variety - before all the questions of performance had been answered, and when each kit was still an interesting advancement.

In all the R/C industry, I am struggling to think of another manufacturer with as much company/family tradition still left in-tact, as Tamiya. All the rest seem to be in Chinese hands, or otherwise liquidated. Yet Tamiya continue, and some of Tamiya's kits are even still made in Japan. They are still based in Japan. And the Tamiya family is still involved. They no longer manufacture any kits that actually interest me. But if Tamiya ever sell out to some chinese crap manufacturer, the last thread of connection to early Japanese R/C history...will have been snuffed out, in my book.

Hope it never happens.

H.

PS. Unsure if Yokomo still have any manufacturing in Japan. Other than them, all I can think of are a few of the surviving Japanese plastic model kit manufacturers that appear to have survived since the 1980s.

[markbt73 5311]

Man... Kyosho gets sold off to vulture capitalists, Ford takes away the Fiesta ST and Focus ST from the USA just three short years after we got 'em in the first place... Cheeseburgers still exist, right? And beer? OK, good... I was worried that all the good stuff was disappearing...

Seriosuly though, no good can come of this. Hobby companies can't be run like other businesses; they blossom and fade with the interest of the participants, and sustainability is never guaranteed. Which means you have to LOVE what you sell, eat, sleep, and breathe it, not just figure out how to make the numbers in the spreadsheet go up. And you have to be willing to accept that you won't be a millionaire doing it. These guys don't get it, and they never will.

Support cottage industries, niche markets, family businesses, underdogs. They're more worthy of your money than any soulless conglomerate.

[WillyChang 1814]

7 hours ago, markbt73 said:

Man... Kyosho gets sold off to vulture capitalists, Ford takes away the Fiesta ST and Focus ST from the USA just three short years after we got 'em in the first place... Cheeseburgers still exist, right? And beer? OK, good... I was worried that all the good stuff was disappearing...

Depends... u White Castle fan or not?

'cos I just gotten word they're doing vegan  now...

I fear the days of the meat munching petrolhead could be numbered 

[tamiya3speed 463]

On 4/27/2018 at 5:05 AM, WillyChang said:

Depends... u White Castle fan or not?

Off topic but I love me some White Castle burgers!

[Yalson 514]

Ah shoot. VC involvement is never a good look. While I would imagine it unlikely the new owners will deliberately run the company into the ground (where would the return be on that?) it does not look good for the staff, future pricing or new (or new re-re) product development and release.VCs don't like spending money as it all comes out of their future returns. There is such a thing as a sympathetic VC, who is willing to take time to make a decent return, but they are few and far between and virtually non-existent when it comes to physical product manufacturers.

[Siang20 25]

I hv personally talk to distributor in taiwan, seem their will continue launching legendaries series later this year.......no clue on specific model..........hopefully turbo optima.

[Wandy 1527]

22 minutes ago, Siang20 said:

I hv personally talk to distributor in taiwan, seem their will continue launching legendaries series later this year.......no clue on specific model..........hopefully turbo optima.

Would make sense, getting maximum value out of the Optima chassis. Lets hope all of those gold bits and pieces are also re-released, including the Option House chassis parts.

[Wooders28 4719]

On 5/18/2018 at 11:56 PM, Yalson said:

unlikely the new owners will deliberately run the company into the ground (where would the return be on that?) 

Seemingly what happened to Maplin, get big loans against the company, put the cash into other investments, buying up something else etc,let that company run itself into the ground and let the banks and suppliers grab whatever is left of the scraps.

 

3 hours ago, Siang20 said:

seem their will continue launching legendaries series later this year......

Ultima 🤞

(But with the 2", correct size wheels!! 🙄)

[Yalson 514]

22 hours ago, Wooders28 said:

Seemingly what happened to Maplin, get big loans against the company, put the cash into other investments, buying up something else etc,let that company run itself into the ground and let the banks and suppliers grab whatever is left of the scraps.

🙄

Ah, yes. There is that.