Lighting manufacturer Osram, Munich, Germany, moved to strengthen its electronic component business with the acquisition of BAG Electronics, a subsidiary of specialty lighting manufacturer Trilux, Arnsberg, Germany. BAG specializes in LED modules and software for LED lighting.
Financial terms of the deal, which is still subject to approval by relevant competition authorities, were not disclosed. BAG generated revenues of around €50 million (about $61.7 million) in 2017 and employs 380 people in sales in Germany, plus production facilities in the Philippines.
The deal includes a strategic five-year contract under which Osram will supply Trilux with components for use in its lighting products.
“This purchase completes our portfolio of electronic ballasts for cutting-edge lighting technology,” Wilhelm Nehring, CEO of Osram’s Digital Systems (DS) business unit, said in a release.
BAG has specialized in manufacturing LED lighting systems and controllers for human-centric lighting. Osram’s release said the acquisition is another step on the company’s path toward transforming into a high-tech company. The takeover of BAG Electronics not only expands the portfolio of the Digital Systems (DS) business unit, it also increases its sales and distribution options in Germany and Asia. Competitive manufacturing facilities in the Philippines also give Osram additional options for its footprint in Asia.