Philips deal over Lumileds terminated
A deal worth around US$3 billion, that was to see a consortium led by GO Scale Capital acquiring an 80.1% interest in the Philips-owned business Lumileds, has fallen through.
The healthcare and lighting corporation announced in April last year that it had signed an agreement with the consortium, made up of Asia-Pacific investors, to sell off more than three-quarters of its interest in the combined Philips LED components and automotive lighting business.
The deal allegedly fell through due to regulatory concerns from the Committee on Foreign Investment in the United States (CFIUS) over the agreement.
“I am very disappointed about this outcome, as this was a very good deal for both Lumileds and the GO Scale Capital-led consortium. This outcome does not, however, impact the fundamentals of the Lumileds business,” said Frans van Houten, CEO of Royal Philips.
“We will now engage with other parties that have expressed an interest in exploring strategic options for Lumileds to pursue more growth and scale.”
Lumileds has operations in more than 30 countries and employs around 9000 employees worldwide. In 2015, it generated sales of approximately US$2 billion.
No break fees are involved in the collapse of the deal.
Residents receive electric shocks after wiring error
The electrician who attended the property has been hit with a $5000 fine.
Stuart Fleming to lead LAPP's Aust Harnessing Division
The electrical engineer brings more than 30 years' experience to his new role, and has a...
New Schneider appointee to manage partnerships and distribution in Aust
Roland Juenemann will lead Schneider Electric's channel strategy across IT partners,...
