SONIC THE HEDGEHOG JOINS POWER RANGERS IN SEGA BANDAI MERGER
REDWOOD CITY, Calif., (January 23, 1997) -- Sega of America today
reported that its parent company, Sega Enterprises, Ltd., and Bandai Company,
Ltd., announced earlier today
in Tokyo that the two companies plan to merge to form the global leader
in interactive entertainment-related businesses. The new company, called Sega
Bandai, Ltd., is planned to
merge on October 1, 1997. Sega is best known in the video game industry
for its blue mascot character, Sonic the Hedgehog. Bandai popularized the
Power Rangers action figurines.
Sega and Bandai have complementary strengths which, when combined, will
create a single company with expertise in all aspects of entertainment,
including video game systems,
console and PC interactive software, toys, music, TV and film
properties, arcade machines, and amusement theme parks, as well as related
licensing businesses.
The Sega group of companies will provide leading edge entertainment
technologies, including digital content, virtual reality and computer
graphics, while Bandai will contribute its
expertise in character development, merchandising and visual/music
technologies. The new company will also benefit from the information
technologies of the CSK Group, of which
Sega is a key entity.
The new company's combined net sales is over $5.6 billion U.S. dollars.
Sega Bandai will benefit from the merger in all areas of its business,
including capital, personnel, research and
development, technology, marketing and content development. As a result,
its competitive position in the global market will be strengthened, as the
merger will allow Sega Bandai to
venture into a wider range of business opportunities and explore markets
for all ages of consumers.
Under the agreement, Sega is the surviving company; Bandai is the
dissolving company. Bandai shareholders will receive 0.76 shares of Sega
Bandai stock for every one share they
hold in Bandai. The company will occupy Sega's headquarter offices in
Tokyo. Heading the company are:
- Isao Okawa, representative director and chairman
- Hayao Nakayama, representative director, vice chairman and CEO
- Makoto Yamashina, representative director, president, COO
Sega of America is the arm of Tokyo, Japan-based Sega Enterprises Ltd.
responsible for the development, marketing and distribution of Sega videogame
systems and videogames in
the Americas. Sega Enterprises Ltd. is a nearly $3.6 billion company
recognized as the industry leader in interactive digital entertainment media,
and is the only company that offers
interactive entertainment experiences both inside and outside the home.
