Osram is strengthening its electronic component business with the acquisition of BAG electronics, a Trilux subsidiary. BAG specializes in LED modules and software for innovative LED lighting solutions. The company, based in Arnsberg in North Rhine-Westphalia, was previously part of the Trilux Group. Following the takeover, its 380 employees have moved to Osram. At the same time, a strategic five-year supply contract including a minimum sales volume has been agreed, with Osram supplying Trilux with components for use in its lights. BAG generated revenues of around €50 million in 2017.

(Image: Business Wire)

The parties have agreed not to disclose financial details, and the acquisition is still subject to approval by the relevant competition authorities. “This purchase completes our portfolio of electronic ballasts for cutting-edge lighting technology,” says Wilhelm Nehring, CEO of Osram’s Digital Systems (DS) business unit. BAG employs around 380 people, with 40 of them based in Germany. In addition to its sales network in Germany, BAG has production facilities in the Philippines. 

The company has specialized in manufacturing LED lighting systems, and also manufactures innovative controllers for human-centric lighting (HCL). This type of biologically effective light can emulate the natural progress of daylight for offices and industrial buildings, producing balanced and motivating light for the employees. 

The acquisition is another step for Osram on its way to transforming 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.