Published on March 1st, 2019 | by The GC Team0
Asian alliance provides Loewe with “strong platform for success”
Loewe’s production facility in Kronach, Germany is to become an independent entity following a tie-up with Japanese Toyoichi Tsusho Co. Ltd.
Loewe said the partnership includes the supply of major electronic components and the setup of a just-in-time supply chain structure within Kronach. It will also include the joint development of major system components for upcoming smart entertainment solutions.
“With Toyoichi we’ve found a reliable and financially strong partner to further boost Loewe’s competitiveness and internationalisation,” said Dr. Ralf Vogt, Chief Executive Officer (CEO) of the Executive Management Board of Loewe Technologies GmbH, who was appointed early this year.
Vogt succeeded Mark Hüsges, who relinquished the role to become Chairman of the newly founded Loewe Advisory Board, a move significant to the establishment of the Loewe-Toyoichi alliance.
“We have always pointed out that we are open to accept new investors to enhance the Loewe Group. This process is far advanced now. For this reason, the separation of investor and Executive Management level within our organisation represents a consistent next step at this point in time,” Hüsges commented.
The company said it will benefit hugely from the procurement power of Toyoichi and new production orders from the firm’s network of partners within Asia, alongside contracts from regional partners within Europe.
“The newly established German-Japanese alliance complements the existing well-proven and longstanding partnerships Loewe has with Hisense and LG Display,” said Loewe’s Vogt. Toyoichi has supplied Loewe, LG Display and Hisense with LCD displays since 2015.
Yutaka Hayashi, Chairman of Toyoichi, said: “The future plans of Loewe’s management together with the strategic reorganisation of the Loewe Group provide a strong platform for success.”
The two companies said they intend to expand the partnership further to include other business areas in the next few months.