Gerard Lighting Group sells infrastructure division to Schréder
The board of Gerard Lighting Group (GLG) has agreed to a sale of its infrastructure lighting division in Australia (Sylvania and Austube) to the Schréder Group. GLG is majority-owned by Bain Capital Credit and Investec which has allowed the company to maintain its position as a supplier in Australia and New Zealand.
GLG’s Sylvania and Austube businesses are Australia’s largest providers of lighting solutions to large-scale construction and infrastructure projects with a significant portfolio of major projects currently underway and in the pipeline.
In announcing the sale, Bain Capital Credit and Investec said that “the strong strategic and cultural alignment between Schréder and Sylvania/Austube presented a compelling opportunity to realise strong value from one of GLG’s key operating businesses.”
GLG chief executive Les Patterson says that Schréder was “a natural home for Sylvania and Austube for the long term. The two businesses have a lot in common including a long and proud heritage, a commitment to innovation and leadership positions in their respective geographies and product segments.”
Les says that the deal was a positive outcome for GLG, proving a scope for increased investment in the Pierlite division, GLG’s commercial and industrial lighting solutions business.
“Pierlite is an important part of the Group and, with the on-going support of our shareholders, we’re excited by what it can deliver going forward through greater investment in capability and reach in the commercial and industrial segment,” he says.
Schréder chief executive Werner De Wolf explains the reasoning behind the acquisition: “Sylvania and Austube are great businesses to add to Schréder. Their customer relationships and market position in Australia are outstanding.”
“Combined with Schréder’s product portfolio and innovation pipeline, and our joint passion for lighting solutions, we will be able to delight our customers. This acquisition will be a great example of Schréder’s ‘local strength with global reach’ strategy and we are very happy to welcome the Sylvania and Austube employees to Schréder.”
The two brand’s operations will largely be unchanged for the foreseeable future and will continue to operate under the same leadership with pricing and supply arrangements not changing.