21 Jun 2022
Agreement with China’s Inventronics follows recent disposals of horticultural and dynamic lighting businesses.
LED and sensor manufacturer ams Osram has found a buyer for its “digital systems” business division, a move that will enable the Austria-headquartered firm to further sharpen its focus on core photonics technologies.
The proposed deal will see the Chinese LED driver electronics supplier Inventronics take over ams Osram’s digital systems businesses in Europe and Asia, which are currently headquartered near Munich and employ some 600 people.
ams had long indicated its desire to sell off the unit during its protracted merger with Osram, and said that the transaction represented a further milestone in the implementation of its wider strategy to focus on core technology areas in illumination, visualization and sensing.
The latest divestiture follows similar moves to dispose of the Texas-based horticultural lighting business Fluence to the Philips Lighting spin-off Signify, and its dynamic lighting unit Traxon Technologies, which is transferring to Hong Kong’s Prosperity Group.
According to the firm, the Europe and Asia digital systems business mainly produces power supplies with related light modules, software, and connectable components for both traditional and LED illumination.
Seen as essential components for luminaires in professional lighting applications enabling smart lighting, the acquisition should enable Inventronics to expand both its portfolio and regional scope.
Its CEO, Marshall Miles, said: “We are very excited about this transaction. The combined portfolio and capabilities, coupled with the fact that we will not be competing with our customers, should make us the first choice for LED drivers with a very large portion of the market.”
Wilhelm Nehring, general manager of the digital business unit at ams Osram, added: “Our goal was to select a buyer who offers a long-term perspective for our employees and our customers along with the ability to foster additional value creation for customers."
Gernot Steinlesberger, who heads up the Digital Systems Europe and Asia business specifically, said: “We look forward to joining the Inventronics family. Both companies have a deep market knowledge and customer understanding, and that combined with our strong European and Asian presence will enable us to continue to deliver excellent quality and leading-edge innovations to our customers.”
Traded publicly on the Shenzhen Stock Exchange, Inventronics is headquartered in Hangzhou, and manufactures drivers at its site in Tonglu.
Aside from China, the company maintains manufacturing facilities in India and Mexico, with additional distribution centers in the US and the Netherlands, and sales offices around the world servicing customers in more than 100 countries.
Meanwhile, ams Osram is embarking on an €800 million investment at its LED manufacturing site in Malaysia, including an upgrade to production on 8-inch diameter wafers to further ramp output.
As well as the listed divestitures, the company is unwinding its joint venture with car parts giant Continental.