TIR Announces $4 Million Agreement with Zumtobel
Craig DiLouie, Editor
Posted January 10, 2006
Solid-state lighting manufacturer TIR Systems Ltd. has announced the signing of a non-exclusive strategic development and supply agreement with Zumtobel AG, of Dornbirn , Austria , Europe ’s largest manufacturer of lighting fixtures, to develop and market LEXEL™-based products through its newly formed LEDON Lighting GmbH.
The initial focus resulting from this agreement is anticipated to be the development of products for the architect- or lighting designer-specified retail, restaurant, commercial and residential markets that demand the precise white-color temperature control and dimming, as well as the energy efficiency that can be achieved with LEXEL.
In addition to the development agreement, Zumtobel has invested $4 million into TIR Systems through the purchase of $4 million in debentures and warrants to purchase 800,000 common shares.
Dr. Andreas Ludwig, CEO of Zumtobel Group, said: “We have entered into this agreement with, and invested in TIR because we are committed to establishing leadership in delivering products based on Solid State Lighting and LEXEL technology. From a strategic point of view, this cooperation with TIR Systems is a perfect enrichment of our dynamically growing LED activities within the Zumtobel Group.”
This joint development agreement will leverage the capabilities of each firm in the design and development of lighting products that advance LEXEL technology within the target lighting markets. Both companies are committing significant resources to this effort and it is expected that LEXEL-based products will be available to Zumtobel’s markets in 2006. As part of the agreement, Zumtobel will be purchasing an undisclosed amount of SSL products from TIR.