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Cree Buying Ruud Lighting For $525M

LED lighting maker Cree Inc. said it has bought Ruud Lighting Inc., which makes outdoor LED lighting, for about $525 million.

DURHAM, N.C (AP) -- LED lighting maker Cree Inc. said it has bought Ruud Lighting Inc., which makes outdoor LED lighting, for about $525 million.

Cree said the purchase price consists of $372 million in cash, $211 million in stock and $85 million to retire outstanding debt, offset by about $143 million in future tax benefits related to the acquisition.

Ruud is based in Racine, Wis. and will operate as a unit of Cree's lighting business.

Cree, based in Durham, N.C., also revised its first-quarter 2012 outlook to reflect the acquisition. The company projects revenue of $265 million to $275 million and net income of $9 million to $12 million, or 8 cents to 11 cents per share, for the period. Excluding special items, Cree expects net income of $28 million to $31 million, or 25 cents to 28 cents per share, for the quarter.

Cree shares fell $1.82, or 5.2 percent, to $32.92 in after-hours trading. They lost $1.46, or 4 percent, to close at $34.74 in the regular session.