Ideal Industries Acquires Cree Lighting Division for $310 Million
Well-Known LED Manufacturer Cree Lighting to Come Under Ideal Industries’ Ownership in $310 Million Deal
The big news in acquisitions this month comes as Ideal Industries inks a deal with Cree lighting. Cree is a well-known name in the lighting sector, particularly for their production of LED chips in all kinds of consumer and professional lighting.
- Ideal Industries expected to close deal for Cree Lighting in the 2nd quarter of 2019
- Deal includes Cree’s lighting division only for $310 million
- Ideal retains the right to use and operate using the Cree Lighting brand
- Cree Lighting will operate as a separate division of Ideal Industries and maintain their current management
Ideal Industries Acquires Cree Lighting – More Details
We know Ideal industries mainly for their tools and consumables for electricians along with their Electrician’s National Championship that takes place in Orlando, FL. You might be aware of all the brands under their umbrells. They include:
- Anderson Power Products
- Western Forge
- SK Tools
- Pratt-Read Tools
- A&L Handles
Assuming everything goes according to plan, Ideal will add Cree Lighting to the list in the 2nd quarter of 2019.
Like the other brands in the group, Cree Lighting will operate as a separate division and retain the current branding. Ideal has no plans to replace the current management or change Cree’s base of operations that include US-based facilities in Durham, North Caroline (headquarters) and Racine, Wisconsin.
The deal is for $310 million. Cree has been operating on the NASDAQ stock exchange where shares jumped several points higher on the news, erasing losses from October and pushing to a new 52-week high. Cree currently boasts some $1.65 billion in revenue across their entire company.
Looking through some of the quotes from Ideal and Cree executives familiar with the deal indicate that Ideal sees the potential for growth in large-scale lighting solutions that Ideal can integrate with their Audacy brand on projects like sports stadiums.