ams OSRAM has sold its CMOS image sensor business to indie Semiconductor Inc. for €40 million in cash, allowing it to further focus its growth investments on AI-enabled photonics and AR smart glasses

“With the sale of our CMOS image sensor (CIS) business to indie, we are further strengthening our profile as leaders in digital photonics. While CIS represents a solid technology platform, our strategic priority is to focus investments on those AI-driven segments that offer the most promising growth prospects and where we clearly differentiate ourselves, including AI photonics and AR smart glasses. At the same time, the anticipated cash proceeds will make an additional contribution to accelerating the deleveraging of our balance sheet. Our transformation into a digital photonics giant is well underway,” said Aldo Kamper, CEO of ams OSRAM.

Advancing the Transformation Towards Digital Photonics Growth Themes
On February 4, ams OSRAM announced its strategic refocusing towards “Creating the Leader in Digital Photonics,” outlining its ambition to emerge as a specialist giant in semiconductor photonics and the undisputed leader in digital photonics.

As part of this strategy and its disciplined capital allocation framework, ams OSRAM continues to review its portfolio to concentrate resources on digital photonics platforms with clear and sustainable market leadership potential, while supporting its efforts to rapidly reduce balance sheet leverage.

In this context, ams OSRAM signed an agreement to sell its CMOS image sensor (CIS) business to indie Semiconductor Inc. for a total amount of 40 million euros, consisting of 35 million euros in cash and a 5 million euro seller's note payable in two years.

The transaction affects entities that hold assets securing the Group's convertible bonds and senior notes, and therefore approximately €20 million of the proceeds will be used to further reduce ams OSRAM's balance sheet leverage in accordance with, and subject to, the terms of those instruments. The transaction is structured as a combination of business sale and asset transactions.

The CIS business is a good fit for indie Semiconductor's portfolio and strategic direction and will therefore be well-positioned to drive its business forward.
The transaction supports ams OSRAM's accelerated deleveraging plan and allows the company to continue focusing on key growth drivers in digital photonics. The transaction is subject to customary closing conditions and is expected to close within the next six months.