Macrosystem DE Acquisition Announced

[CasablancaExpert]

This morning on the Cassie Tips List, Jorg Sprave announced the acquisition of a major share of MS DE by the German Consumer Electronics company Loewe AG.

You can read Jorg's announcement, some info on Loewe and my brief thoughts on my Casablanca Expert Blog here .

[Volker]

Sounds good. But I am afraid that it is only 50% of the story.

[Alan]

Hi Volker,

Dare I ask what the other 50% might be?

Living in hope, Alan

[Volker]

Well, I am afraid that Loewe is only interested in the Home Entertainment technology. And they own 75% of MSDE now... So they decide where the journey goes to... Enough said.
But I hope I am wrong.

[JBrooks]

Congratulations Jörg!

I am very optimistic that this new partnership will propel our Casablanca systems and software to greater heights in the digital video industry.

Joel Brooks
MIT Video
http://www.mitvideoproductions.com

[TimKennelly]

Joel,

Jörg does not monitor this BB, you would need to address this to the List or directly to him for him to see it.

[TimKennelly]

Volker,

That was exactly my response to Jörg's statement.

Congratulations on a successful negotiation to secure the future of MacrosystemDE Jörg.

I hope Loewe decides the video editing portion of MacrosystemDE is worth continuation and continued support.

Tim

[Alan]

There is a very simple answer to the question.
The video editing side will continue only if there is a good margin to be made.
Anyone got a good crystal ball?
Alan.

[CasablancaExpert]

I too read the Press Release (and between the lines) with cautious optimism... but was pleased to read a reply from Jörg on the Cassie Tips List this morning - I believe it was a reply to Tim or another members question as to whether video editing side of the MSDE business would continue:

Video editing is 75% of our sales. Loewe wants us to be very successful,
which clearly means that video editing has to be continued.
Jörg Sprave

When someone suggested that this may be the beginning of the end for MS DE there was this reply:

We now have fresh capital, a great brand name in the
entertainment world (at least here in Europe), a great manufacturing
facility, and access to a wealth of know how in marketing + technology. We
had none of these things beforehand.

In my book, such benefits make it less likely to go out of business.
Jörg Sprave

I am not suggesting this refutes what Volker has shared (he has previous, first-hand knowledge of the German company) but simply passing along the information for consideration.

[Alan]

I've had a look at the Loewe site and it certainly aims high in quality, the tops. So assuming there is a good margin in editing products we should be able to look forward to top quality editing stuff that is delivered on time, that works, and is probably a bit expensive. Suits me, if that is what we might get.

Alan