The uncertain political climate surrounding energy-efficient lighting regulations isn’t phasing LED lighting player Cree: the Durham, N.C., company just paid approximately $525 million in cash and stock for Ruud Lighting, which specializes in LED outdoor lighting. That would be street lights, canopy lighting and so on.
Chuck Swoboda, chairman and CEO of Cree, said the acquisition — which is a little out of character for Cree — makes sense regardless of the politics because municipal governments and commercial concerns both continue to believe that lighting upgrades are one of the best ways to become more energy-efficient. “The economics continue to make the payback compelling,” he said.
Ruud, which has its base in Racine, Wis., will be operated as a subsidiary of Cree. Ruud was a traditional lighting technology company that has made a major transformation to carry LED products. Its manufacturing facility in Wisconsin will be a valuable addition to Cree’s operations footprint, Swododa said.
The acquisition was announced and closed at the same time, so the two companies will begin integrating their operations immediately, he said.
