LED manufacturer Lighting Science Group closes $140m in equity funding

June 01, 2012 // By Julien Happich
Lighting Science Group has completed the final round in a series of private placements totaling approximately $140 million in equity funding and commitments.

Approximately $88 million is new equity funding and commitments and approximately $52 million represents the conversion of certain bridge financings occurring since the fourth quarter of 2011.

The proceeds from the funding and commitments will be used to finance the Company's growth, expand its manufacturing capabilities for energy-efficient LED lighting products for consumer and commercial applications in both the public and private sectors.

This new round of funding will help the company meet the growing demand for products including commercial networks (such as real estate owner/operators, retailers, and hospitality), public sector networks (such as the military and municipalities), and consumer networks (such as large-volume home improvement centers). Additionally, approximately $10 million will be used to retire a related-party obligation.

The funding was led by Riverwood Capital, a globally-focused private equity firm that invests in high-growth businesses in the technology and services industries. Pegasus Capital Advisors, L.P. and its affiliates, Lighting Science Group's majority owner, also participated in the equity financing in an amount equal to approximately $55 million, pursuant to an investment of approximately $33 million and an equity commitment of up to approximately $22 million.

Alongside the capital injection, two executives who have previously worked with Riverwood Capital and some of its portfolio companies will be joining Lighting Science Group as senior managers. The first is Brad Knight, who will assume the position of chief operating officer and Keith Scott, who will take the post of chief commercial officer.