Under the umbrella of a corporate center with strategic planning functions, the new company will realign the existing business areas of Hoya and Pentax.
According to a press release, both companies will combine their technological platforms in optics, imaging and materials to optimize their business portfolios, focusing on life care, optics, information technology, eye care and imaging systems. Hoya is a manufacturer specialized in optical components for cameras and lenses, semiconductor products, medical applications as well as eye glass and contact lenses. Pentax is known for its cameras and lenses as well as binoculars, endoscopes and microscopes. In the last fiscal year, which ended March 31, 2006, Hoya achieved total sales of Yen 344 billion (Euro 2.2 billion) with a net profit of Yen 75.6 billion (Euro 488 million). In the same period, Pentax recorded sales of Yen 142 billion (Euro 917 million) with a net profit of Yen 805 million (Euro 5.2 million).
A final agreement on the merger is expected early April this year. In June 2007, the annual shareholder meetings of both companies will be asked for approval; the merger is scheduled to become effective October 1, 2007. Under of the terms of the basic understanding, Hoya will be the surviving company.
The new Hoya Pentax HD Corporation will have a Board of ten directors, five of whom in non-executive functions. Three of the executive directors will be appointed by Hoya, the others by Pentax. Fumio Urano, currently President/CEO of Pentax Corporation, will become Chairman of the Board of Hoya Pentax HD Corporation, while Hiroshi Suzuki, President/CEO of Hoya Corporation, will take over as President and CEO.