NTL Electronics India and Lemnis Form Joint Venture
NTL Electronics India Limited, the country’s most respected manufacturer of electronic products for the lighting industry, and Lemnis Lighting, Netherlands, a widely awarded forerunner in the field of sustainable lighting solutions, have formed a joint venture to design, produce, and sell energy-efficient LED lighting systems for India as well as the global market.
The new 50:50 JV Company, which will be jointly controlled through offices in Barneveld, Netherlands, and Noida, India, will also have sales offices in South Africa and Ghana. The companies will put in an initial investment of around Rs.40 Cr. (US $ 8 million) into the joint venture.
NTL Lemnis will exploit the global design, production, and distribution strengths of both the parent companies to deliver innovative solutions for home and commercial lighting globally. Lemnis will support the new venture through supply of technology, design, and intellectual property; while NTL will contribute through its competencies in operations and electronics design and development. NTL-Lemnis will primarily focus on the geographical markets of Europe, Africa, and India.
“We are happy to be partnering with the global leaders in energy-efficient lighting, Lemnis. Together, we can create cutting-edge technology and innovate to produce the best possible solutions for the Indian consumer. With this cooperation we are looking at speeding up the penetration of LEDs in the Indian lighting industry,” said Arun Gupta, managing director of NTL Electronics India Limited.
“The cooperation with NTL fits seamlessly in our general belief of ‘sustainability’,” according to Friedwart Barfod, co-founder of Lemnis. “Many companies are currently defensive in their approach and are very reluctant to share their knowledge. On the contrary, we aim at sharing our knowledge and expertise in the field of sustainable lighting.”
Both companies have been working closely together for several years already. Together the two companies have already made bulk sales of LED lamps possible, supplying over 2 million LED bulbs just in the last 6 months. The first NTL Lemnis concepts were showcased at the Frankfurt Lighting+Building exhibition in April 2012, and the first products will be available in India within this calendar year.
The NTL Lemnis production facility will have an initial installed capacity of 5 million products per annum. This number is likely to grow manifold within the next couple of years. The focus will be on using superior Indian manufacturing prowess and the technological advancements of the pioneers in the sector. The joint venture will look at producing the complete range of energy efficient LED lighting products under the umbrella of the acclaimed Lemnis brand, Pharox, globally.
The market strategy for NTL Lemnis is to reach out to high-energy-consuming entities like commercial establishments, malls, 24/7 working environments, etc. The JV is especially focused on industries such as retail, ITeS, hospitality, and healthcare.
About the partners
Lemnis Lighting B.V. is a leader in the field of sustainable lighting solutions based on LED technology. Lemnis Lighting is a subsidiary of Tendris Holding. Tendris initiates, develops, and invests in companies that focus on sustainable solutions. For more information visit www.lemnislighting.com.
NTL began its operations in 1993 and entered the lighting industry in 2002. In less than 10 years, NTL has become the largest electronics manufacturing company in the lighting industry in India. The company has grown at an impressive CAGR of 72% and has become a Rs. 424 Cr (US$94 million) company in the year 2010-11. In 2010, a private equity firm, CX Partners, picked up a 20% stake in the company. Today, the product portfolio of NTL comprises electronic control gears, ballasts, luminaires, retrofit CFLs, LED drivers, and LED lamps.