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Osram rename lighting division before the ‘carve-out’

19/01/2016

By BizLED Bureua

http://bizled.co.in/osram-rename-lighting-division-before-the-carve-out/

The official report from Osram confirmed the on-time deadline for ‘carve-out’ of its unit as LEDVANCE.

In the LED and lighting industry, branding experts would approve that “lamps business” is not a very popular phrase to attract consumers’ attention. So Osram announced that it will dub it’s for-sale lamps and general lighting unit with a new term: LEDVANCE.

Osram rename lighting division before the ‘carve-out’


“A combination of the terms ‘LED’ and ‘advance’ was used and now we will call the newly established company as LEDVANCE,” stated Osram CEO Olaf Berlien. “The name reflects the trend toward LED in the lighting market. It further highlights the opportunities arising from this development. In short, opportunities LEDVANCE will actively benefit from.”

Osram uses Siteco as a brand name and already markets some of its LED lamps under that brand.

Osram confirmed the schedule to complete the “organization disintegration” of the lamps business by April 1, “while the legal parting is planned for July 1, 2016,” Osram said. As a sale of the €2 billion ($2.19 billion) division, the move is expected to come.

As BizLED reported earlier that China’s MLS, the parent company of Forest Lighting, had bid for the Osram division. In July, China’s Shanghai Feilo Acoustics also made a non-binding offer.

Large traditional lighting companies with a long history in conventional lighting like Philips, Osram, and GE are transitioning to LED lighting but have struggled to profit from it. Many LED-only companies that have grown up over the last decade or so, they have huge costs associated with older production and business models.

Like Osram, Philips is also selling its LED lamps unit. GE has regrouped its industrial and commercial LED business into a new energy group called Current, and is banking on selling data services built around LEDs’ data capabilities, rather than getting the profit from bulb sales.