WhatHiFi is reporting that Germany’s defunct TV brand Loewe is ready to get back into the business after being bought out by an investment firm called Skytec Group Ltd.
The company’s new owner is all set on restoring the Loewe brand to its former greatness, as opposed to simply stripping it and selling off its remaining assets as many had expected.
Loewe went bankrupt in June of last year following years of financial struggles. It had previously staved off bankruptcy in 2013 thanks to a last-minute investment from private equity firm Stargate Capital, but its business model of focusing only on high-end products struggled in the face of competition from more agile and cheaper brands in Asia.
The company’s most recent batch of high-end TVs sported advanced features such as OLED displays, personalised sound and various artistic designs. But they were unable to compete with the more affordable OLED TVs from Asian manufacturers. In addition, Loewe’s lack of a platform partner meant its TVs didn’t come with popular video streaming apps such as Netflix.
Skytec said it currently has 45 Loewe employees back to work at the company’s traditional headquarters in Kronach, and that a new HQ is being constructed as we speak. The plan is for Loewe to quickly re-establish itself as a consumer electronics brand in international markets, firstly by restoring its old supply chains. The management said it hopes to have much of the firm’s existing portfolio of products ready for sale again by April, with a new line of products, including TVs and audio equipment, ready to show off at the 2020 IFA Show in Berlin.
Vladislav Khabliev, chief executive officer of Skytec, said in a statement to the press that Loewe would re-establish its relationships with former partners, including LG Display, which sold it the OLED panels for its luxury TVs. Khabliev added that the company’s partnersip with Hisense is also likely to “remain in future and even be expanded.”
Indeed, Khabliev said Loewe is relying on Hisense to help it make its products available again as soon as possible.
“We want to get started quickly with the development of new products at the traditional location in Kronach,” the CEO said. “Our goal is to reposition Loewe as an international premium brand for sophisticated consumer electronics. Until then, we can now guarantee continuity with the proven high product quality to the trade and also to our end customers and fans of the brand. This is also a strong signal to our retail partners who can continue to rely on Loewe in the future when it comes to stylish entertainment and iconic 'Engineered in Germany' design.”
