Rudy Provoost, chief executive of Philips' Lighting sector, comments: "Sophisticated lighting control systems can provide our customers with significant cost and energy savings. A variety of lighting control methods present a solution to suit any setting, ensuring that energy is not consumed unnecessarily, while providing the user with complete flexibility and control over their environment. As such, the acquisition of Dynalite enables us to further strengthen our offering of integral energy management solutions to major corporations, property developers and hotel groups. Having a prominent lighting controls business will help us to further capitalize on the growing demand for energy saving solutions. This is fueled by trends towards net zero CO2 buildings and the accelerating global switch to green energy saving solutions, partly enforced by increasing government legislations."
Dynalite was founded in 1989 and has since become a prominent lighting control company with its energy management and building automation, architectural lighting control, home automation and residential applications solutions. The company, with offices in Australia, the UK, China and Dubai has around 130 employees. Dynalite posted a double-digit profit margin and sales growth in 2008; a performance which is expected to continue in years to come as it starts leveraging Philips' existing global distribution channels.
With the acquisition of Dynalite, Philips significantly expands its existing lighting controls business. The combination will have a prominent position in the global lighting controls industry with an estimated total market value of approximately EUR 2 billion. The acquisition also expands Philips' green products portfolio, and further secures its position to lead the global shift to energy-efficient lighting solutions.
This latest acquisition follows Philips' acquisitions of Lumileds (US$950m) in 2005, and of TIR (US$64m), Color Kinetics (US$791m), and the Genlyte Group - including the Strand and Vari-Lite brands among others (US$2.7billion) - in 2007.
(Lee Baldock)
