Conti, Osram Finalize Lighting JV

German suppliers Continental AG and Osram Licht GmbH have agreed on terms for the lighting company they announced last November.

The 50:50 venture, which will be called Osram Continental, will be based in Munich and is expected to generate annual sales in the €400-€500 million ($490-613 million) range. Operations are due to begin this summer.

The partners aim to team Conti’s electronics and software know-how with Osram’s lighting expertise. As part of the agreement, Continental’s light control business and Osram’s solid-state lighting module business will be transferred to Osram Continental.

Initial products will include semiconductor-based lighting modules, such as LED and laser headlights and taillights, and other lighting systems. Osram estimates that such modules could account for half of all automotive lighting applications by 2025.

About 1,500 people will work for the joint venture at 17 locations worldwide. Dirk Linzmeier, who joined Osram as a senior vice president last autumn, has been named CEO. Continental’s Harald Renner will serve as chief financial officer.