yash_naik24
Yashwant Naik
Apple takeover Dr Dre-founded Beats Electronics looks to set more music business.
Apple is closing in on a deal to buy headphone manufacturer Beats Electronics for $3.2bn (£1.88bn). It would be one of the biggest acquisition for the California company.
The deal is suppose to be announced as early as next week once all documentation is finalize after discussion on all legal and further BoD talks. The main aim to buyout this business is to increase the streaming music service and its audio equipment business by Apple.
Beats has developed a strong brand since its launch by rapper Dr Dre and music producer Jimmy Iovine in 2008.
In 2012 50.1% of the company cost HTC $309m. Last September a $500m investment from Carlyle valued the company at more than $1bn.
The Apple deal, news of which was first reported by the FT on Thursday night, would mark a change in the California firm's approach under the leadership of chief executive Tim Cook following the reluctance of Steve Jobs to make large acquisitions. Reporting the company's second-quarter earnings last month, Cook said he was "on the prowl" for companies to buy. He told journalists: "We are not in a race to spend the most or acquire the most. We're in a race to make the best products that enrich people's lives." He added that Apple has purchased 24 companies over the past 18 months.
The deal is suppose to be announced as early as next week once all documentation is finalize after discussion on all legal and further BoD talks. The main aim to buyout this business is to increase the streaming music service and its audio equipment business by Apple.
Beats has developed a strong brand since its launch by rapper Dr Dre and music producer Jimmy Iovine in 2008.
In 2012 50.1% of the company cost HTC $309m. Last September a $500m investment from Carlyle valued the company at more than $1bn.
The Apple deal, news of which was first reported by the FT on Thursday night, would mark a change in the California firm's approach under the leadership of chief executive Tim Cook following the reluctance of Steve Jobs to make large acquisitions. Reporting the company's second-quarter earnings last month, Cook said he was "on the prowl" for companies to buy. He told journalists: "We are not in a race to spend the most or acquire the most. We're in a race to make the best products that enrich people's lives." He added that Apple has purchased 24 companies over the past 18 months.