Osram: Decision on spinoff of lighting business deferred
As reported by the German press agency, the supervisory board of Osram lighting group has not reached a final decision on the spinoff of its lighting business.
It is stated that first the effects on the employees have to be examined. The latest plans had thrown up a central question with employee representatives: What would a spinoff of the lighting business mean for the employees? The IG Metall union had been appalled by the spinoff plans.
Previously Osram had announced that the business with lamps – including halogen, energy-saving and LED lamps - is to be spun off.
A decision could be made in about four weeks at an extraordinary meeting of the supervisory body, although an exact date for this was not announced at first. However, it is regarded as unlikely that the plans could still be overturned. Also it remains to be seen whether the business is to be sold or floated on the stock market after the spinoff.
Osram’s rival Philips has taken sweeping measures, too, spinning off its entire lighting business and selling a part of the division in March.
For years Osram has been feeling the effects of the rapid change in the lighting market – and the cheaper competition, above all from Asia, which can produce at lower prices especially for the mass market for lamps.