Osram Price Drops by 4% on First Trading Day
Osram Licht AG's opening price today fell by as much as 4% on its first day of trading. The company opened at Eur 25 but then dropped to as low as Eur23. In addition, the company said that it should first complete a restructuring before it even begins considering new acquisitions.
"The priority is the completion of Osram Push and to bring earlier purchases back on track with the plan we had when we bought them. We are working hard to approach break-even and are well under way with our planning to get there," said Klaus Patzak, Osram's Chief Financial Officer during a Frankfurt Stock Exchange interview.
Previously, Osram spun off Siemens to get rid of low profitable units or growth prospects. The company had valued Siemens at Eur23 billion. Prior to the spin off, it canceled an initial public offering and instead went for the decision of replacing 10 Siemens shares with one Osram share.