Harry Rosenbloom, founder of the (now-closed) Medley Music of Bryn Mawr, Pennsylvania, was manufacturing handmade guitars under the name "Elger". By 1965, Rosenbloom had decided to stop manufacturing guitars and chose to become the exclusive North American distributor for Ibanez guitars.
In September 1972, Hoshino began a partnership with Elger Guitars to import guitars from Japan. In September 1981, Elger was renamed "Hoshino U.S.A.", retaining the company headquarters in Bensalem, Pennsylvania as a distribution and quality-control center.
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