ams-Osram sells non-optical & mixed-signal sensor division to Infineon for €570M

Photonics and sensing systems developer ams-Osram, headquartered in Premstätten, Austria, has this week announced the sale of its non-optical analog/mixed-signal sensor business to Infineon for € 570 million ($670 M) in cash.

ams-Osram, which is simultaneously rebranding itself as “the leader in digital photonics”, said the transaction is expected to close in Q2, 2026, and that the deal had reduced its “pro-forma leverage ratio to 2.5”.

The sale concerns entities holding about € 130 M of assets that guarantee the [ams-Osram] Group’s convertible bonds and senior notes; the related proceeds will be applied to pro-rata buyback or redemption of those instruments, the firm stated.

In total, asset sales under ams-Osram’s “deleveraging plan” will generate proceeds of approximately € 670 M, pushing the firm’s pro-forma leverage ratio from 3.3 down to 2.5.

Aldo Kamper, CEO of ams-Osram, commented, “With the focused sale of our non-optical automotive, industrial and medical sensor business to Infineon, we are effectively killing two birds with one stone: we are accelerating the deleveraging of our balance sheet while at the same time creating a compelling strategic pure play – the leader in digital photonics.

“We are emerging as the photonics powerhouse, offering the broadest suite of cutting-edge semiconductor emitting and sensing platforms, uniquely positioned to capture the major inflection points in digital photonics across automotive, augmented reality smart glasses, biosensing, home and industrial robotics, AI data-center optical interconnects and potentially even visionary applications like laser fusion.”

Strategic repositioning

The announcement also featured what the company considers to be strategic consequences of the deal:

• Transaction increases financial and strategic flexibility.
• Digital Photonics means the digitalization of light emission through pixelated emitters and sensors including processing power for added intelligence and drives a set of mid-term growth opportunities supporting the [company’s] new 2030 financial targets.
• ams Osram boasts the broadest set of cutting-edge optical semiconductor technology platforms in emitters including specialized driver and power management ICs, and a full range of optical sensors and sensor modules.
• The stable traditional automotive lamps (including the after-market business) remain part of the ams-Osram Group as reliable cash flow generator for funding growth in its semiconductor business.
• New 2030 “over-the-cycle” financial targets: Semiconductors: mid-to-high single digit revenue CAGR, ≥25% adjusted pre-tax earnings (EBITDA); Group: FCF € >200 M, leverage ratio <2.