Cree Inc. has announced the completion of the sale of its Lighting Products business (Cree Lighting) to leading electrical and telecom solutions company, IDEAL INDUSTRIES. The transaction includes Cree’s LED lighting fixtures, lamps and corporate lighting solutions business for commercial, industrial and consumer applications. The transaction, which was previously announced on March 15, has now been closed and is effective hereafter.
The sale of its lighting business represents a pivotal chapter for Cree as the company sharpens its focus to become a semiconductor powerhouse in silicon carbide and GaN technologies. The company’s technologies are helping to power major transitions in the economy, whether it’s the automotive industry’s transition to electric vehicles or the telecommunications sector’s move to faster 5G networks. Cree’s leadership in silicon carbide and GaN, thus positions them well, to help customers improve performance and realize greater efficiencies.
The company will use the proceeds from the sale to accelerate the growth of Wolfspeed, its Power and RF business, and expand its semiconductor operations. The company recently announced plans to invest up to $1 billion in the expansion of its silicon carbide capacity to meet the growing demand for silicon carbide and GaN-on-silicon-carbide technologies. The expansion includes the development of a state-of-the-art, automated 200mm silicon carbide fabrication facility and a materials mega factory at its U.S. campus headquarters in Durham, N.C., allowing wide bandgap semiconductors that enable the dramatic technology shifts underway within the automotive, communications infrastructure and industrial markets.
