Harman International merger with Samsung Electronics approved by shareholders
Samsung Electronics announced in November last year that it had decided to acquire Harman International for $8 billion. This acquisition gives Samsung access to Harman’s automotive business as well as its premium audio brands which include Bang & Olufsen, Harman Kardon, JBL, and more. There was some pushback from minority investors who felt that the price was too low. Some even filed a lawsuit against Harman’s CEO for deciding to sell the company at a price that they perceived to be lower than what the company was actually worth.
However, despite those concerns and the troubles that Samsung is going through these days, Harman International shareholders have voted in favor of the acquisition. This means that a major hurdle is now out of Samsung’s way as it seeks to close this deal in the coming months.
A regulatory filing with the US Securities and Exchange Commission confirms that 70.78 percent of Harman’s common shares – 49,460,322 out of 69,883,605 shares – were represented at the shareholders meeting either in person or through proxies. 46,921,832 shares were in favor of the acquisition, 2,107,178 against with 431,312 abstentions.
With the shareholder approval now out of the way, the acquisition now requires an approval by antitrust authorities in the United States, South Korea, China and the European Union. Samsung plans on closing this deal by the third quarter this year.