Toronto based company Indigo Books & Music sold 58 per cent of Kobo Inc. to Japanese eCommerce Goliath Rakuten for US$315-million.
Indigo CEO Heather Reisman goes on to say in her interview with Canadian eCommerce news that the deal was a “win-win-win” situation for all companies involved.
With Apple, Amazon and search engine monster Google all looking to pick their eBook strategies up a notch; Kobo needed deeper pockets to take their company to the next step.
On paper the partnership looks to be a match made in heaven, but will they succeed?
“So there comes a time when you say, we’ve done an amazing job, we’ve grown it to be something that’s truly spectacular, and now it’s time for it to take the next step.” Said Reisman.
Japan has the third largest economy next to China and US – Kobo is already popular in North America; now spreading their wings in Lekutian, Brazil, Thailand, Indonesian, and Germany.
Rakuten is sure to provide Kobo with an established eCommerce platform — one that can compete with Amazon. Amazon’s major success is accredited to their immaculate eCommerce system; allowing them to dive into other markets for growth.
But how soon can Rakuten and Kobo get their bearings straight?
Can this be the biggest mistake Reisman has ever made?
Let us know what you think below or on our Facebook fan page.