GE has signed a definitive agreement to sell Cleveland-based GE Lighting to Savant Systems Inc., an industry leader in the professional smart home space. Financial details of the transaction were not disclosed.

GE Chairman and CEO H. Lawrence Culp, Jr., said, “Today’s transaction is another important step in the transformation of GE into a more focused industrial company. Our GE Lighting colleagues will join a fast-growing leader in home automation that shares their passion for bringing the future to light. Together with Savant, GE Lighting will continue its legacy of innovation, while we at GE will continue to advance the infrastructure technologies that are core to our company and draw on the roots of our founder, Thomas Edison.”

Savant Founder and CEO Robert Madonna added: “Savant’s mission from the start has been to create the number one smart home brand in the world, and I am confident that the acquisition of GE Lighting has moved us significantly toward that ultimate goal. We are committed to ensuring that GE Lighting’s long history of industry leadership continues, while bringing exceptional value and reliability to retail partners and consumers as the number one intelligent lighting company worldwide. Never before has connectivity, security, intelligent lighting and entertainment, all enjoyed within the comforts of home, been more top of mind with consumers.” 

For nearly 130 years, GE Lighting has been at the forefront of every major lighting innovation, from the dawn of incandescent bulbs to industry-first LED and smart solutions along with the world’s first voice-embedded lighting product. GE Lighting expects to remain headquartered in Cleveland and its more than 700 employees are expected to transfer to Savant upon completion of the transaction.

The proposed deal intends to combine GE’s legacy and expertise with Savant’s best-in-class smart home solutions and renowned culture of innovation, creating a union of trusted and recognizable premium brands in the lighting and connected home technology markets.

Savant Systems is based Hyannis, Massachusetts and is considered a leader in home control and automation, as well as one of the fastest-growing smart home companies in the luxury and mid-markets.

The proposed transaction includes a long-term licensing agreement for use of the GE brand. The transaction is subject to customary closing conditions and is expected to close in mid-2020. UBS Investment Bank acted as lead financial adviser to GE.