Just got this from the newswire:
Scottsdale, Ariz., U.S.A – In a surprising move and one that has been kept in utmost secrecy over the past several months, Gibson USA and Fender Musical Instruments have entered into an agreement in which Fender will merge its business and financial operations into Gibson USA. Specific financial details of the merger were not provided, though Gibson USA CEO Henry Juszkiewicz did indicate that the purchase was made with both stock and cash. The combined company will be called Gibson Global, Inc., and each individual company would operate as separate divisions within the master company.
The merger would create the largest musical instrument company in the world, though both divisions would retain their respective brand names and operate within their existing brands.
The merger is still subject to SEC approval, but both companies are confident anti-trust examinations by the SEC will past muster. Said Fender CEO William Mendello, “Both Fender and Gibson are in an increasingly competitive market, with recent competition increasing significantly, especially from Southeast Asia. We feel that a merger of our two great companies will allow us to operate from a position of strength in the face of global competition.”
Company spokepersons from either company were not available for comment.
OMG! This is incredible news!
Early this morning, I got a text message from my friend Jeff saying that Les Paul had passed away. While part of me is sad from this inevitability, a very large part of me is thankful to him for what he brought to the guitar and recording world. The man was a living legend while alive, having invented the humbucker, the reverb effect, and multi-track recording. His contributions, not only to the guitar world, but to the music world in general have literally shaped the course of musical history, let alone history, as artists the world over have made music – I believe the ultimate leveler in the world – with his inventions.
Guitar Gear 