Dutch electronics giant Philips has sold a majority stake in its led and car lighting component activities to a consortium headed by Chinese-American investment company Go Scale Capital.

The deal values the company at $3.3bn and is expected to be completed in the third quarter. Philips will retain a 20% stake in the company which will be renamed Lumileds. Philips will remain an active client and will work together with the new owners, the company said in a statement.

Philips, which started life as a manufacturer of light bulbs, is sharpening its focus to concentrate on healthcare technology.

The company outlined its new strategy last September. The lighting division, which develops integral systems for street lights, stadiums and offices, is being separated into a different legal structure and may be sold, possibly via an IPO, the company said.