Royal Philips Electronics has a preliminary agreement with Robert Bosch GmbH to sell its Communication, Security & Imaging (CSI) business unit to Bosch. Both companies say completion of the transaction, which is subject to customary consultation procedures with trade unions and worker councils, and clearance by the competition authorities, is expected to take place later this year. Financial details were not disclosed.
Philips CSI operates in 35 countries worldwide and employs approximately 1,300 people, all of whom will transfer to Bosch, according to the companies. In 2001, CSI reported sales of more than $300 million (Euro).
With the acquisition of Philips CSI, Bosch strengthens its market position in systems and components for video surveillance, where it already employs 4,200 people. The acquisition will also give Bosch access to international markets for security systems, especially in North America, Southeast Asia and China.
The Bosch Group is headquartered in Germany and is a diversified, global enterprise serving customers in 130 countries in three business sectors: automotive technology, industrial technology, and consumer goods and building technology. In 2001, Bosch reported worldwide sales of $34 billion (Euro). The company has 221,000 employees.