Varroc Lighting Systems has announced that it has entered into a joint venture agreement with ELBA, a privately owned Romanian lighting and electronics company.
The joint venture company will deal with the manufacturing of electronics and is also expected to support the expansion of Varroc Lighting in Europe, given the increasing electronic content of lighting products. Though the terms of the partnership were not divulged, the two companies revealed that the new joint venture will be located in Timisoara, Romania.
Commenting on the joint venture, Varroc Lighting Systems President and CEO Stephane Vedie said that Varroc already designs and develops all of its own electronics hardware and software. With input from Elba, there will vertical integration of manufacturing which is expected to support the company’s profitable growth. ELBA is recognized as one of the key players in the lighting market in Europe, and it is expected that the partnership will be highly successful.
Bogdan Cocian, CEO of ELBA said that the global lighting market is undergoing major changes, and electronics integration is necessary to address the actual and future needs of the final customer.
Cocian added, “We are eager to start this new JV, in partnership with Varroc, to vertically integrate and optimize our supply of electronic components.”
The new joint venture with ELBA is the second such initiative that Varroc Lighting has undertaken recently. In July, the company has acquired Saba Automotive, a Turkish manufacturer of small lighting and electronics products.
