The company plans to change its name to Dialight plc, subject to shareholder approval.
Harry Tee, Roxboro’s Chief Executive, said that the disposal of the Solartron Group represents a significant realization of shareholder value, and will allow the company to make a significant return of cash to shareholders. "Over the past two years we have raised over £120 million from disposals and importantly our activities are now focused on the high growth opportunities in Dialight," said Tee.
Dialight applies LED technology into a wide range of products and applications and is already a leading supplier of road and rail signals, bus and truck signal lights, and obstruction lights.
Tee feels that the emergence of high brightness LEDs as a disruptive technology in the lighting sector creates very significant opportunities for Dialight.
Roxboro's accounts show that Dialight achieved a turnover of $101.4 million in the calendar year 2004, with an operating profit of $10.8 million. Turnover, of which 79% was generated in the US, was up just over 7% compared with the previous year.
Dialight has three major product lines – indication, signalling and illumination. The indicator sector uses large numbers of LEDs to indicate the status (for example, on/off using red/green LEDs) of electronic equipment. Traffic signals, rail signals and obstruction lighting all use LEDs, and Dialight has a major contract with New York City Transit to supply rail wayside lights. The company also supplies LED obstruction lights and beacons to major broadcast/cellular towers as well as to the US Federal Aviation Authority.
In the field of illumination, Dialight has, Dialight demonstrated at the LightFair show in April its LED-based light engine, which has been incorporated into theatrical and architectural fixtures (see Dialight demonstrates integrated solid-state light engine).
Dialight believes its experience in applied LED technology puts it in an excellent position to develop a strong worldwide position in the emerging markets of specialized lighting and color mixing.