Luminus Devices, a light-emitting diode (LED) maker, said Monday that it closed a $72 million round of financing and that it will use the capital to expand into new lighting markets.
The Billerica, Massachusetts, company traditionally focused on light sources for the TV and display industry. But now the company intends to broaden into general commercial and consumer lighting and specialty applications such as medical, entertainment, and security.
"We are very bullish on LEDs and solid state lighting, and we are excited to invest in one of the most promising companies in this space," said Dennis Costello, managing director at Braemar Energy Ventures, which led the financing round, in a statement.
Advanced lighting technologies, such as LEDs and compact fluorescent lamps (CFLs), have become increasingly popular. They use less energy and have longer life spans than conventional incandescent bulbs.
To date, higher costs and limited applications have slowed their growth. But analysts believe the market for advanced lighting is set to flourish.
Freedonia predicts the U.S. market for LEDs in buildings will rise 21 percent annually to $130 million in total sales by 2011. The research firm predicts that demand for all advanced lighting products to reach $4.4 billion by 2011.
