Onkyo has announced a ‘strategic alliance’ with electronics manufacturer TEAC.

The deal means that both companies will acquire 10 per cent of each other’s shares and will explore new ways to share their manufacturing facilities, logistic centres and marketing, as well as potentially combining their research and development resources.

Onkyo president Munenori Otsuki said that the deal will enable both companies to combine their expertise to “leverage each other’s considerable strengths to provide innovative life changing products to its customers”.

TEAC president Yuji Hanabusa added that the alliance will also make both companies more competitive in an ever changing market.