Osram announced a confirmation of receiving a binding offer from Bain Capital and The Carlyle Group, the US-based private equity firms who have been in talk with the German company for a buyout since the end of 2018. According to Osram, the inventors have offered an amount of EUR 35 (US$39.5) per share for the buyout, which will be approximately 3.4 billion euro ($3.8 billion) for concluding the investor agreement and to make a public takeover offer. Osram said, “The responsible decision bodies will discuss and decide on this offer shortly.” Osram has b...

Osram moved a step forwards to its transformation to a high-tech company by selling its Siteco luminaires business to Stern Steward Capital, the investment arm of Stern Steward & Co. based in Munich. According to Osram, “Separation from Osram gives Siteco entrepreneurial freedom,” and Stern Stewart Capital will continue the current transformation approach. Despite that the financial details of the transaction were not revealed by both parties, Osram noted that its cost situation would also be improved with the elimination of previous Group structures. ...

After releasing few warnings in February and March, Osram finally unveiled the financial results of the second quarter of its fiscal 2019 ending March 31. The results went in line with what the company has expected with revenues decreased by 13.5% YoY to EUR862 million (US$965.14 million). The adjusted EBITDA fell by 56% YoY to EUR70 million (US$78.38 million) with an adjusted EBITDA margin dropped from 16.9% to 8.1%. The net loss came to EUR90 million (US$100.78 million). Continuous weak growth in China along with ongoing trade conflicts have led ...

Taiwan-based LED manufacturers Lextar and Epistar announced their financial reports for the first quarter of 2019. Both companies posted an on-year degrease for 1Q19; however, Lextar managed to stay profitable while Epistar had a loss in the past two quarters with impacts from the US-China dispute. Lextar registered revenues of NT$2.167 billion (US$70.13 million) for 1Q19 with an on-year decrease of 18.15% and an on-quarter decrease of 10%. Net profit came to NT$113 million (US$3.66 million). The company also posted a revenue of NT$815 million (US$26.38 millio...

Epiwafer producer IQE and optoelectronic components maker II-VI have report orders and growth driven by demands for sensing and communication technology. UK-based wafer product supplier IQE announced that has received the first mass production order for its recently constructed Newport Mega Foundry from its VCSEL customer. Optical components manufacturer II-VI reported its Fiscal 3Q19 results with strong demands for communications products. IQE reported that it has achieved full product qualification with its existing VCSEL client and is processing furt...

Cree announced financial results for its third quarter of fiscal 2019, ended March 31, 2019. Revenue from continuing operations for the third quarter of fiscal 2019 was US$274 million, which represents a 22% on-year increase. GAAP net loss from continuing operations for the third quarter of fiscal 2019 was US$22 million, or US$0.22 per diluted share. On a non-GAAP basis, net income from continuing operations for the third quarter of fiscal 2019 was US$20 million, compared to non-GAAP net income from continuing operations for the third quarter of fiscal 2018 of US$17...

AIXTRON, the Germany-based semiconductor equipment provider, announced its financial report for the first quarter of 2019 with an expected performance. The revenue of 1Q19 increased by 10% YoY to EUR 68.7 million (US$ 77 million). Although the gross margin decreased slightly to 39% YoY due to a change in the product mix, the gross profit of EUR 26.7 million (US$29.92 million) in the first quarter of 2019 was on a par with the previous year. According to AIXTRON, the first quarter of 2019 was mainly influenced by the expected reluctance of customers to inve...

Samsung and LG have both released their financial results for the first quarter of 2019 with profit loss in their display business resulting from the sluggish market. Samsung registered a revenue of KRW 6.12 trillion (US$ 5.24 billion) for its Display Panel Business in 1Q19 with an operating loss of KRW 0.56 trillion (US$ 479 million). The company said that the operating loss came from weaker profitability in both mobile and large displays. Mobile displays suffered slower demand and intensifying competition with LTPS LCDs. Large displays also took a hit from a ...

On its way of transforming to a high-tech photonic company, Osram has been challenged by the weakening global market. The German company adjusted its annual forecast for fiscal year 2019 which ends by September 30, 2019. Osram said the revenue of fiscal 2019 is expected to decline between 11 and 14 percent while the previous forecast was a revenue growth between 0 and 3 percent. The company also lowered is the range of its adjusted EBITDA margin to eight and ten percent from 12 to 14 percent. In addition, Osram expects a negative free cash flow between EUR 50 million t...

Cree is selling its lighting business to Ideal Industries, an Illinois-based electric power control and management company, to continue its strategy of becoming a more focused, powerhouse semiconductor company. Cree announced the execution of a definitive agreement to sell Cree Lighting, the lighting products business unit, which includes the LED lighting fixtures, lamps and corporate lighting solutions business for commercial, industrial and consumer applications. According to Cree, the deal is about US$310 million before tax. The company expects to receive an initial cash...

Taiwan-based LED company Lextar announced its 2018 financial reports with an annual revenue of NT$ 11.056 billion (US$ 357.58 million), down by 8.2% YoY. Its after tax profit came to NT$ 49 million (US$ 1.58 million). For the fourth quarter of 2018, the company registered a revenue of NT$2.4 billion, which dropped by 19.6% compared with 3Q18. In 2018, Lextar has slashed its lighting business to focus on high technology development which resulted in the decrease of annual revenue. The market uncertainty brought by the US-China trade war also impacted the busi...

Power management company Eaton announced its plan to spin off its lighting business to create an independent, publicly traded company by the end of 2019. The lighting business of Eaton covers a wide range of products and systems to maximize energy efficiency which records sales of US$ 1.7 billion in 2018. Eaton’s lighting business provides services to customers in commercial, industrial, residential and municipal market. The spin-off will include Eaton’s global airport lighting business and Mains lighting. According to Eaton, Goldman Sachs will be Eaton&rsq...

German equipment manufacturer AIXTRON posted its 2018 financial results. The company reported increased on-year revenue and gross margin due to continued demand for its MOCVD systems for lasers, red-orange-yellow (ROY) LEDs and specialty LEDs production. According to AIXTRON, its order intake in 2018 grew by 15% YoY to EUR 302.5 million (US$ 344.26 million), which led to a yearly revenue of EUR 268.8 million (US$ 306 million), up by 17% YoY. Adjusted for previous year's sales from discontinued operations, the sales increased by 40% compare...

Taiwanese LED companies announced their revenue of January 2019. Epistar and Lextar posted on-month revenue increase while Lite-On reported growth in LED products. Epistar registered a revenue of NT$ 1.27 billion (US$ 41.16 million) for January which increased by 6.56% MoM but dropped by 32.4% YoY. Impacted by the trade dispute and political uncertainty, business growth in the global LED market is not expected by the industry players. To cope with the sluggish market, Epistar has focused on Mini LED backlight products targeting high-end display applicatio...

U.S.-based instrument manufacturer Veeco announced its financial results for the fourth quarter and fiscal 2018. For 4Q18, the company registered a revenue of US$99 million, which dropped by 29.1% YoY. Veeco also reported a GAAP net loss of US$144.7 million, in comparison with US$8.5 loss in 4Q17. The non-GAAP loss was US$7.5 million. According to the company, the declined revenue and profit in the fourth quarter of 2018 was due to "Commoditization of the MOCVD market for LEDs in China.” In 2Q18, the revenue from China accounted for 45...

Followed the notice released by the end of January, Osram announced the results of its first quarter of fiscal 2019. The company posted a revenue of EUR 828 million (US$ 934.65 million) which declined by 15% YoY with revenue dropped in three of Osram’s business segments. The Opto Semiconductors division recorded an on-year decline in revenue of 17% and its revenue of automotive segment decreased by 11 % YoY. In the Digital segment, revenue fell by around 17% YoY due to weak market development in the general lighting segment. Olaf Berlien, CEO of Osram...

Signify, the largest lighting company in the world, reported its financial results for the fourth quarter and the fiscal year of 2018. With increased LED-based sales, the company announced improved adjusted EBITA margin for the fourth quarter of 2018. For the fourth quarter of 2018, Signify posted a revenue of EUR 1.73 billion (US$ 1.96 billion), dropped by 8.8% YoY. The adjusted gross margin was EUR 647 million (US$731.93 million) which declined 11.6% YoY. However, the adjusted EBITA of 4Q18 grew by 3.2% YoY at 214 million. For full year of 2018, the ...

Samsung Electronics announced its financial results for the fourth quarter and the fiscal year of 2018. The revenue and profit of 4Q18 declined due to global market uncertainty but Samsung still reached its annual goal in fiscal 2018. For 4Q18, Samsung posted a KRW 59.27 trillion (US$ 53.22 billion) quarterly revenue, which decreased by 10 percent YoY. The quarterly operating profit was KRW 10.8 trillion (US$9.7 billion), with an on-year decline of 29 percent. The yearly revenue for fiscal 2018 was KRW 243.77 trillion (US$ 218.9 billion) and operating profit cam...

Seoul Semiconductor reported its 2018 fiscal year consolidated revenue of KRW 1194.2 billion (US$1.07 billion) with an operating profit of KRW 99 billion (US$ 88.6 million), as well as a net income of KRW 65.4 billion (US$ 58.53 million) to report two year consecutive sales growth. As a result of stabilization of Seoul Semiconductor’s new manufacturing plant in Vietnam and improved product mix, the consolidated fourth quarter revenue increased by 6% YoY to KRW 300.6 billion (US$ 269.04 million), while operating profit amounted to KRW 36.2 billion (US...

Sanan Optoelectronics, the largest LED epitaxy wafer manufacturer in China, announced that it has received funds from its strategic investors including Quanzhou Financial Holding, the China Industrial International Trust, and An Xin Capital. The three organizations plan to provide a joint investment of at least CNY 5.4 billion (US$801.64 million) to Sanan and Quanzhou Financial Holding will offer liquidity assistance of CNY 600 million (US$ 89 million). Sanan Optoelectronics has been through a financial crisis in January with its stock price dropped ...

Vertically integrated LED company Lextar announced a revenue of NT$ 715 million (US$ 23.2 million) for December 2018 with a decrease of 13% MoM and 17% YoY. The company’s revenue of 2018 was NT$ 11 billion (US$ 357 million) with an on-year decrease of 8.2%. Lextar has drastically reduced its general lighting business in 2018 and focused on new opto-semiconductor technology development with the aim to boost its profit. The company has targeted four fields including displays, professional lighting, automotive applications and sensing technologies. Mini LED...

Sweden-based Fagerhult announced on December 21 that it has signed an agreement to acquire iGuzzini, the Italian lighting group for EUR 385 million (US$ 439 million). According to Fagerhult, the price of EUR 385 million will be paid with 74 percent in cash and 26 percent in new Fagerhult shares. The transaction is expected to complete in the first quarter of 2019. With iGuzzini joining the Fagerhult Group will, the largest lighting company in the Nordic countries will increase its presence in Italy, Switzerland, Spain and North America. The combined compan...

Bowery Farming, an indoor autonomous farming startup from New York, has raised US$ 90 million in Series B funding from investors including GV (formerly Google Ventures). and CEO of Uber, Dara Khosrowshahi. The company began operating in February 2017 and has opened two vertical farming facilities near New York since then. Bowery Farming applies technologies including robotics, machine learning and predictive analytics to autonomously operate the growing conditions for the crops. Vegetables are grown with controlled environment with optimized LED lighting spectr...

By the end of last month, Bloomberg reported that Bain Capital, a U.S.-based private equity firm, has been eyeing a buyout of Osram. Soon after that, another private equity company, Carlyle, reportedly joined the list of potential bidders for the German lighting technology group, according to Financial Times. The report of Financial Times noted that two people directly involved in the situation have confirmed Carlyle’s interest in the buyout of Osram. But neither Carlyle nor Osram commented on the information. (Image: Osram) Osram has been through a fina...

Japan Display Inc. (JDI) has been negotiating with Chinese companies and investors to receive financial supports of JPY 50 billion (US$ 440.65 million), reported NHK. The potential investors include mobile component producer Ofilm, automotive component manufacturer Minth Group and the Silk Road Fund. With the support, the Chinese investors will hold 33 percent or more of the share of JDI, suppressing the current major shareholder INCJ, who owns 25.29 percent of the share. In addition to the investment, the Chinese investors were also reportedly offering a ...

LED manufacturers reported revenue drop for November as the demands decrease in the off-peak season. AOT, the LED company under the Foxconn Group, has posted a revenue of NT$ 332 million (US$ 10.76 million) for November with a decrease of 10.4% MoM and 39.9% YoY. LED backlighting is the major business of the company which accounts for more than 90 percent of its revenue. Therefore, the dropped demands of TV backlight due to seasonality led to the decreased monthly revenue of AOT. (Image: AOT) AOT also began the development of Mini and Micro LE...

The fourth quarter is usually the off-peak season for the LED market. Industry players including Lextar and Macroblock have reported lukewarm business performance in November and are expecting growth in 2019 with the booming Mini LED market. Lextar posted its monthly revenue of NT$ 823 million (US$ 26.67 million) for November with a decrease of 6.5% MoM and 7.8% YoY. The company has continued its product shipments including Mini LED backlights, Mini LED RGB modules, fine-pitch displays and VCSEL packages. Meanwhile, it also focuses on further tech...

DigiLens, a U.S.-based HUD device developer, announced that it has received an investment from AR software company Niantic and Diamond Edge Ventures, the strategic investment arm of Mitsubishi Chemical Holdings Corporation (MCHC) in its Series C funding round. With the investment, DigiLens will continue its development in holographic AR displays for automobile, consumer and other applications. With its technology in holographic waveguide displays, DigiLens provides proprietary nanomaterials and core technologies for AR displays. The company aims to create...

Taiwanese LED packager Edison Opto has shifted its business focus from LED lighting to LED automotive lighting modules due to the decreasing profit of its conventional lighting business. The portfolio adjustment has come into effect with the company reporting the highest profit margin in the past five year despite its lukewarm revenue performance. (Image: Edison Opto) Edison Opto posted a revenue of NT$ 639 million (US$ 20.71 million) for 3Q18 with on quarter decrease of 14% and on year decrease of 7.4%. However, the quarterly profit margin came to the highest p...

Kulicke and Soffa (K&S) has announced its financial results of the fourth quarter and its fiscal 2018 ended September 29, 2018. The Company’s revenue for the fourth quarter was US$184.8 million and the full year revenue was US$889.1 million. Dr. Fusen Chen, Kulicke & Soffa's President and CEO, stated, “Over the past two years, our organizational redesign and development efforts have diversified our business and provided access to several new and promising growth opportunities. Throughout fiscal year 2018, these fundamental improvements resul...