updated 07:35 am EDT, Fri July 1, 2011
Ricoh will focus on DSLR segment
Japanese optical equipment maker Hoya has announced the sale of its Pentax camera unit to rival manufacturer Ricoh. The Nikkei business daily reports the deal is worth 10 billion yen ($124 million). The selloff of the camera business was widely expected. Hoya bought Pentax in 2007 mainly for its medical technology.
Sales of Pentax cameras declined 13 percent last year, which the company attributed to falling prices in the extremely competitive digital compact camera segment. Ricoh says it intends to focus on higher-end single lens reflex cameras.
Pentax is the world's tenth-largest camera maker by units shipped. Ricoh primarily makes copiers and printers. Its current camera business is not a force in the global market.
Hoya expects to close the sale in October, according to filings with the Tokyo Stock Exchange.
Hoya stock closed up four percent on news of the deal, while Pentax fell two percent.