Osram Investor Against New Investment in LED Chips

News Source:

Following Osram’s announcement last week that the company is to invest EUR 1 billion in a new Malaysia-based plant for LED chips, a leading investor in Osram expressed opposing opinions about Osram’s latest strategy, reported Reuters.

Michael Muders, fund manager at Union Investment, Osram’s fifth- largest shareholder with nearly two percent of the company’s share, stated that the new strategy caused disappointment among shareholders and increased their distrust of Osram’s management team.

Investors hope the company would invest in profitable niches, including automobile and streetlight products rather than focusing on the production of LED chips for lights in Malaysia.

Osram has restructured in order to compete with Asian manufacturers.

Osram’s share dropped by a quarter after the company released its latest plan last Wednesday. And it barely recovered on the day.

According to Muders, the strategy is very unlikely to be altered and he would take disapproval stance from Osram’s boards at the next shareholder meeting if the company’s strategy remained unchanged.

Disclaimers of Warranties
1. The website does not warrant the following:
1.1 The services from the website meets your requirement;
1.2 The accuracy, completeness, or timeliness of the service;
1.3 The accuracy, reliability of conclusions drawn from using the service;
1.4 The accuracy, completeness, or timeliness, or security of any information that you download from the website
2. The services provided by the website is intended for your reference only. The website shall be not be responsible for investment decisions, damages, or other losses resulting from use of the website or the information contained therein<

Proprietary Rights
You may not reproduce, modify, create derivative works from, display, perform, publish, distribute, disseminate, broadcast or circulate to any third party, any materials contained on the services without the express prior written consent of the website or its legal owner.