April 1, 2015: Netherlands-based firm Royal Philips is set to sell 80.1 per cent stake in its joint LED components and automotive lighting business for an amount of about US $2.8 billion to GO Scale Capital.
The enterprise value of the business stands approximately at US $3.3 billion. A new company will be established which will be named Lumileds, and will be led by CEO Pierre-Yves Lesaicherre for business, said a company statement.
“Philips expects to receive cash proceeds, before tax and transaction related costs, of approximately US $2.8 billion and a deferred contingent payment of up to US $100 million,” reports PTI.
“The transaction is expected to be completed in the third quarter of 2015, subject to closing conditions, including customary regulatory approvals,” said the statement.
