Computer peripherals company, Logitech, has acquired wireless audio wearables company, Jaybird. The acquisition will see Logitech buy the company for about $US50 million in cash, with an additional earn-out of up to $US45 million based on achievement of growth targets over the next two years.
Logitech said the acquisition of Jaybird will give it a strong position in the wireless audio wearables for sports and active lifestyles category, which Jaybird has been in since 2008.
Logitech president and CEO, Bracken Darrell, said the deal was made as Logitech and Jaybird share a passion for products and enables the company to expand its long-term growth potential of its music business.
“We’re impressed by the technology, products and marketing Jaybird has brought to this business. As one team, we can address the fast-growing wireless audio wearables market with all the advantages of Jaybird’s strong brand and sports expertise, and our combined audio engineering and design capabilities.
“With both the Ultimate Ears and Jaybird brands in our portfolio, we are expanding the long-term growth potential of our music business,” he said.
Jaybird founder and CEO, Judd Armstrong, said Jaybird will benefit from Logitech’s global distribution network and engineering prowess.
“It has been an incredible journey. We love what we do, and we’re stoked to continue to innovate and bring amazing new products to our fans. We’ve watched as Logitech connected incredible products with consumers under the UE brand, and we’re thrilled to be part of the team.”
Logitech does not expect the acquisition to materially impact its FY 2017 guidance and said the acquisition is subject to customary closing conditions which can be expected in the coming weeks.