Mystery about the status of the distribution of the Focal Naim audio brands in the Australian market has deepened, with insiders telling ChannelNews that the issue could relate to the possibility that the owners of the two brands Vervent Audio Group is set to sell the business or take in new partners.
According to sources in Australia, worldwide distributors of the two brands, are aware that if a change of ownership does take place, new owners could end up controlling the French Vervent Audio Group with the possibility emerging that new distributors could be appointed in some Countries. ChannelNews has been told that some distributors are already aware of a pending deal and have moved to sell stock down, these dealers are are also unable to comment due to none disclosure clauses in engagement contracts.
ChannelNews has requested a confirmation or denial of the rumours surrounding the French manufacturer of the Focal and Naim brands but at this stage we have not had a reply to our requests. We have also asked the Vervent Audio Group whether they are in the process of appointing new distributors in some Countries. 
We also requested Busisoft management to deny or confirm whether they still the appointed distributor for Australia.
Busisoft or related Companies have held the distribution rights to the two brands since 2019.
Back in 2019 European private investor, cut a deal with Naxicap Partners to acquire a majority stake in Vervent Audio Group. This would “accelerate the development of growth potential in both the local and global markets,” the Company said in a press release.
The group has over 40 years of experience in the design and manufacture of audio equipment such as home or professional studio speakers, headphones and car speakers.
The group has three production sites located in France and the United Kingdom and employs over 430 people; their product are distributed in over 160 Countries.
Overseas exports account for nearly 80 per cent of the Companies revenues which prior to the outbreak of COVID, 2019 was around A$178M.
In Australia the brand has had a chequered history
Back in 2015 Sydney’s Audio Marketing Company owned by Len Wallis lost the distribution rights to the Focal Naim brands.
The French Company then appointed a New Zealand Company NA Distributors, as the distributor for the Australian market, they were dumped in 2019 Busisoft was appointed to the business.
ChannelNews understands that the business owed Vervent Audio Group close to $1.8M at the time, and that they had supported the New Zealand Company “for some time “according to insiders.
Executives from NA Distributors are reported to have told Australian retailers at the Munich Hi Fi show at the time that the business “Would teach Focal a Lesson” following the loss, nothing came of the threat.
Another reason the business lost the brands was due to the excessively high levels of stock the business had and the debts to the French Company.
One option put to ChannelNews was that the two brands Focal and Naim could be split up.
Focal and the British streaming pioneer Naim, merged to form the “Vervent Audio Group” in 2014.
Run by venture capital Companies Naxicap Partners, they were the main shareholder of the Vervent Group until Alpha Private Equity, acquired a majority stake.
A press release issued at the time said that the Alpha Private Equity investment would “accelerate the development of growth potential in both the local and global markets,” where the business operated.
At this stage it’s not known whether Alpha Private Equity is selling down its stake in the French business, we have asked them to comment.
Focal and Naim officially merged in 2011 creating the ‘Focal & Naim’ Group.
In 2014, ‘Focal Naim’ was acquired by its managers and a private equity firm: Vervent Audio Group was created.
Founder Jacques Mahul stepped down at the end of 2014.
Today the Company is run by Christophe Sicaud, CEO of Vervent Audio Group.
