Fine Sounds Spa, the Milan-based holding company for Audio...
Fine Sounds Spa, the Milan-based holding company for Audio Research Corp. and Sonus Faber, bought Wadia Digital, manufacturer of high-end digital audio components. Terms were not disclosed. Wadia CEO John Schaffer said both parties’ goals were met by the acquisition.…
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In seeking a buyer, Wadia wanted to find “a strategic partner with an understanding of and appreciation for the legacy of the Wadia brand,” Schaffer said. According to Fine Sounds, the acquisition extends the company’s reach into the “digital lifestyle” category. Resources provided by the deal will allow Wadia to expand its Series 1 line of “affordable” products, which includes the $379 170 iTransport iPod dock, Schaffer said. Historically, the company has focused on “tip of the pyramid” digital audio at luxury goods price points, he said, but based on “astronomical” growth for the iTransport, the company wants to expand the category. “That’s where we've been growing the fastest,” Schaffer said, “and it’s outstripped our ability to keep up.” At CES, the company will show its Model 121, sub-$2,000 small form factor D-A converter that’s due to ship in Q2, he said. Although the company “had absolutely run into the same kind of stagnant economy you'd expect” in 2009, Schaffer said 2010 has been a bounce-back year and the company joins Fine Sounds “from a position of strength.” Schaffer will continue to manage the Wadia brand from the Michigan office and joins the Fine Sounds board. He said no job cuts were part of the deal and operations will continue in Michigan. “We're not planning any major reorganization,” he said.