Osram Licht to Sell Light Bulb and LED-Lamp Business

By Eyk Henning and Natali Schwab 

FRANKFURT -- Germany's Osram Licht AG Tuesday said it agreed to sell its light-bulb and LED-lamp business to Chinese lighting company MLS Co. and two co-investors for more than EUR400 million ($439.8 million).

The move helps the former unit of engineering giant Siemens AG to focus on the automotive industry and lighting solutions for buildings and cities. Some bankers speculated it could also make Osram a more attractive takeover target.

The move sees Osram following the path of Dutch rival Royal Philips NV, which floated a 25% stake in its general lighting business valuing the entire unit at around EUR3 billion.

MLS, which was advised by Credit Suisse AG, joined with with financial investors Yiwu State-Owned Assets Operation Center and IDG Capital Partners for the acquisition. Osram was advised by UBS AG.

With around 8,900 employees in more than 120 countries, Osram's light-bulb unit contributes around EUR2 billion, or roughly 40%, to the entire company's annual revenues.

Write to Eyk Henning at [e-mail] and Natali Schwab at [e-mail]

(END) Dow Jones Newswires

July 26, 2016 13:17 ET (17:17 GMT)

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