Main LED lighting CREE intends to spin off power and RF products business

[LED] Chinese news according to foreign media reports, CREE said on Monday that it has been to the United States securities regulatory authorities submitted a secret file, the file for power and RF products (RF) division of the IPO, the division is responsible for the production of equipment components such as electric power and telecommunication industry.

But Cree did not mention the basic situation of the public offering to raise funds, such as the total amount of funds raised, the number of shares and the issue price. Cree CEO Morgan on Monday morning in JP Cree technology, media and Telecommunications Conference, said that after the IPO, will still be the largest shareholder of power and RF division. He also explained that the division will allow Cree to fully focus on LED lighting, stripping power and RF services, in order to pursue growth in electricity and telecommunications applications. Swoboda added that Cree believes the split division can "release value" for shareholders".

A lot of people may be familiar with the LED bulbs and lamps that illuminate the commercial buildings, parking lots and streets Cree. Since the 2011 acquisition of Ruud lighting, the company's main business focus on Wisconsin (WI) lessing. 2013, CREE with LED home lighting bulbs into the consumer market. Cree's most famous product is LED lighting products. At present, Cree company divides its business into three sections. In addition to its lighting products division, as well as power and RF division, as well as the production of electronic products LED chip LED products division.

LED products division is the largest division of Cree, with revenues of $833 million 700 thousand in fiscal 2014. The company's lighting products division revenues of $706 million 400 thousand. At the same time, power and RF business revenue for fiscal year 2014 was $107 million 500 thousand.

Power and RF division is the smallest business unit in Cree, but it has been growing. Third fiscal quarter results released last month showed that power and RF revenues of $31 million, an increase of 13% over last year.

Cree has arranged a new executive officer for its power and RF division. Cree said in the filing of the securities, the telecommunications industry will be appointed veteran Franco Plastina served as interim executive vice president of power and RF division, effective in June 8th. Plastina is a former Nortel network executives, and later became the Tekelec company CEO, the company is located in the U.S. state of North Carolina, Maurice, is committed to providing software and hardware for the telecommunications industry company, acquired by Oracle in 2013.

Cree said in the document, after the end of IPO, Plastina will become the chief executive officer of Cree power and RF division. (compile / China LED network Nicole)

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