What They Say
Vestel tweeted the announcement that it has signed a 10 year global licence with Posco International, to use the Daewoo brand name for major appliances and TV sets. Vestel said it plans to sell products to 50 countries in Europe as well as Russia and the Turkic Republics.
What We Think
This is probably quite a good deal for Vestel and adds to the brands that it can use (which include Toshiba, Hitachi, JVC and Sharp). We haven’t been able to get any clarity about the use of the Toshiba brand by the firm. Hisense bought Toshiba’s TV business in 2017, after its deal with Sharp went sour but Vestel had a licence for several years for Europe and so it stayed in Vestel’s control. It seems unlikely to me that Hisense would want the European region to be run separately, so we’d expect it to take back the brand. That would have been a blow for Vestel, but now it has the Daewoo brand to add some volume. (BR)
