Dahua Sells Off Lorex To Taiwan Company
The day before the US FCC announced prohibiting new Dahua authorizations, Dahua announced it is selling off Lorex to a Taiwan company.
Lorex has become the largest single portion of Dahua's North American business, as its products have become broadly sold in big box retailers (though Best Buy, Home Depot and Lowes dropped Dahua's Lorex, though Costco has stood by Dahua / Lorex).
In this note, we examine the deal, what it means for Dahua (whose revenue dropped sharply recently), and for the Taiwan company acquiring Lorex.
****** ******** ****: ***** **** *** deal ** *** ********.
**********'* ************ *********** "* ***** *****", ***** ** selling ***** *** ***** $** ******* to******'* ********. ***** *** *** ******* *** it ** ********* ***** ****** * general ********* **** ** ** ** "the **** ******** ** *** ************, customers, *********, *** ***** ************ ** execute **** ***********".
Profitable ****
***** **** ****** ** *** ****, as *** ***** ** ** **** of $** ******* ** **** **** double *** $** ******* ********* **** **** **** ************** (*** **** ***) **** ***** 5 ***** ***.
Included - ***** ** ***** ***?
***** *****'* ************ **** ******** ******* Lorex, **** ***** ******** *****, ** also ******** ****'* *** ************ ***** has ****** *** **** ** ***** North *******'* ***** **** (*** ** ***** ****). ** ** *** ***** **** will ****** ** *** **** ** Dahua's ***** ******** ************.
***** ******** ** ******* *** ******* details ******* **** **** "*** ************ are ******* ********* ** ***** ******* regarding ***** ****."
Revenue *****
*****'* ******* *** ************ **** **** $100 ******* *** ** ****** ** continues ** ** **** **** ******. Moreover, *****'* ******* ** ************* ****** than *****'* ***** ******* ******* ***** which***** ********* ** ** $** ******* in ****, ** ***** ****** ***** ******.
**** * ******* ****** ** ***** products **** ******* **** *** ** in *** **** ** ******, *** import *******, ** ***** ******* * significant ****** ** *** ******** *** SMB *****. ***** ****** ******* *** be **********, ** ******** **** ****** Lorex's ****** ****** **** ***** ** the ******* ** ******** ******* *****.
Driven ** ** ********** ****** - **********
*** ********** ** **** **** ** driven ** ** ********** ****** ***** Dahua ************ ******* ** ********* *** Dahua *** ***** ** ******* ******** in ******* **** *** ***** ** video ************. ***** *****'* ***** ******* are ********* ***** ** *** *********** big *** / ******** *******, **** has **** *** **** *** ***** and **** ***** **** *** ****** us ** * ****** ** **** now.
** ** * *** ********** ***** US ********** ****** *** ******* **** on ********** *** ********** ***, **** that ***** ***** ** **** ******** impacted ** ** ********** ************ *** bans.
Ezviz **********
*** ******* ********** ** *********'* **** is *****, ****** ****** **** ********* Ezviz,********* ** ******** *** *** ******** line(****** ********* **** ***** ** *****'* controlling ***********). ***** *** ***** ******* the ***** ** ******* **** ***** had (****** ***** *** *** ********* of ***** ******* ** ***** ******* many ***** ***** ***** *** *** to ******** ** **** **** * foreign ******.
Sale "*** ******** ***", "***** ******* ** *******"
******** ****.*. ******** **** *** **** ** "*** finished" *** "** *** ***** ******* on *******" *** ** ******* ******* such ** (***********) "********** ********":
****** *** **** ******** ***. ** are ***** ******* ** *******. ***** Procurement ********* ** ******. *** ***** are ***** **** ***** *****, *.*. government ******** ************. **********, *** *********** is *** ******** ***.
Skywatch **********
***** ** ***** **** ******************** ***. (行品股份有限公司),* ******-***** ******** **** ***** *****-***** video *** *** *********. *** **** was ******* ** **** ***** *** ****** ******* ********* *.*. Yang******-**** ****, *** ***** ******* *****************, * ******** ******** ********************.
**-******* ***-**** ********* ** *** ******** ******** *** ******* ** * ***** hardware, ********, *****, *** **** ******** for *** "******** ** ******** ** Taiwan." *** ********* ****, "** *** expanding *** ****** ******** ** *** US *** ******":
*** ******** ** ***** ******** ********** are ** ******, ************ **** *** ***** ************ ******* ************-******* ******** **** ** monitoring *** ****** **** ***** ******. Their******** **** ******* *********:
******** ****** ******* ** ** ********:
*******'***** ****** ****** ********* ***** ******* ****** *** ** ownership ** ********, ******* ********** ***., an ********** ******* ** *******, *** approximately *.**% ******* ***** ** ********:
*** ******* ** ********* ***** ** four ************: *** *** **-******** ** well ** ******* ********** *** (*** Vivotek *********) *** ******** ********** ****.
**** *** *** **** *** ***** records ** ******* *** *******'* ********** (e.g. *******, ******, ***.)
***** **** ****** ** *** ****, as *** ***** ** ** **** of $** ******* ** **** **** double *** $** ******* ********* **** **** **** ************** (*** **** ***) **** ***** 5 ***** ***.
*** **** $** ******* ***** *** was ****** *** *********. ******* ******* how **** ** *** $*** ** goodwill **. ******, * ***** **'* hard ** *** **** *** ********** this **** **. ** ***** *** surprise ** ** *** ** ***** stuffed * ***** ** ********* **** this **** ** **** ** **** good ** *** ***** *******.
** *****, ****'* * **** *****.
******* ******* **** ***** ** ********* is ********* ******** ******* *** ************ say * ******* **** *** ***'* disclose **** ** ******** *.** **** etc, ****** *** ****** ***** **** lower.
******** ******** ** **** *** ********* statement:
******** ** * ***** ****** **** major *** ***** ** ****** *** Japan. ** ******* **** **** **** 110K **** *********** ******* *** ******** and ******** *********. ****** ********* *** our ***/***. ******** ********* *** *** 3rd *******’ ***/***. *** ******** ***** customers *** ******* *********. ** **** on ******** *** ** **** *** North ******** ******. ** ********** ** can ******* **** **** ** **** an ********* ***** ******** ****. ***-********* bring ** **** ***********. ** *** acquiring *****. ***** *** **** ******* in *** ********* ******. ** ***** have **** ** ****** ** *****. We **** **** **** *********** **** our ** **** ***** *******.
** **** ** ** * ******* post ** **** ** *** ******.
******: ********** ** ****** **** **** announcement *** ** *** **** *** as *** *** *****. ** ****, Dahua's ************ *** *** *** ******. We've ******* **** ** *** ******* of *****.
**** *******, ** ******* ***** ****** are *******. **** ****** (******* ***** and *** *** *****) **** * long **** ** *** ****** *** Dahua **** **** *** *** ***** was ******, ***** ** *** ****** Equipment ***, *** **** **** * year ****** ***** ********* ******* *****.
*** ***** **** *******-***** ********* ******* to ********* *********? *** **** ** the ******** ***** *** ****** *** sectors. **** ***** ********** ***** **** eyebrows ** ******** ***.
******: ***** **** *** **** ** done:
*** *********** *** ****** ********** ** ****** ** ***** ** Lorex. *** ********* ***** ***** ****** put ** ***** *** *****.
** **** ******* *** ** ******** 4 ***** **** *** **** * months ******* *** ********. ** *** trying ***** ** *** **** ******* they *** *******.
****** ******* **** **** ***** ******** to **** ******** ** ***** *** just ** **** **** **** ************, e.g., ****** ******* **** *** **** month:
** ***** ** **** * *** of ***** ****** **** **** **** and **** **** *** **** ***-****** non-PRC ******* ** ******** ******* *** end ******** ** *** **. ***'* wait ** *** ** **** ***** corp **** ** *** ********** ***** to *** **** *** *********...