CREE chief executive Gregg Lowe said: "the acquisition has strengthened the leading position of Wolfspeed in RF silicon carbide based GaN-on-SiC technology, and at the same time, CREE has entered more markets, expanded customers and gained expertise in the field of packaging. This is an important step in CREE's development strategy, enabling the Wolfspeed to boost the speed of the 4G network and transform it to a revolutionary 5G. "

Reinhard Ploss, chief executive of Infineon, said: "CREE has become a powerful new owner of our radio frequency power business and has a great reputation in the industry. We are excited about the business philosophy of CREE and the prospects for the development of the business after the merger. At the same time, we can more effectively invest our existing resources in Infineon's strategic growth area, and continue to provide strong technical combinations for the wireless market.

For a long time, Infineon and CREE keep the technology ahead, work together, and share business interests. Infineon RF acquisition (RF) power team and technical capabilities will bring more technology, design, packaging, manufacturing and customer support for CREE Wolfspeed, with the existing products and professional skills complement each other. The business is in the leading position of the market. Based on LDMOS and silicon carbide based gallium nitride (GaN-on-SiC) technology, it provides transistors and MMIC (monolithic microwave integrated circuits) for radio infrastructure RF power amplifiers.

Transactions include:

The basic of Morgan Hill (California) the main facilities, including the LDMOS and silicon carbide based gallium nitride (GaN-on-SiC) packaging and testing business;

Sales and wireless infrastructure equipment manufacturers (including on-site support staff) good customer relations;

Sales throughout the United States, Morgan hill and Chandler (Arizona), Finland, Sweden, Chinese and South Korea about 260 employees;

Sales to ensure that the transition services agreement business continuity and transition, under the agreement of Infineon will be in the future about 90 days of time to run the business.

Infineon will sign a long-term supply agreement to support the transaction. Its wafer fab in Regensburg, Germany, supplies LDMOS chips and related components. The factory in Malacca, Malaysia will also provide assembly and testing services.

Gerhard Wolf, vice president and general manager of RF power product line, said: "we are looking forward to the combination of CREE strong strength and complementary advantages. With superb skills, dedicated team and advanced technology, and commitment to excellent management, we are looking forward to the development of 5G mobile standard technology. We expect to provide services to our customers seamlessly.

Trading background

The deal includes Infineon's radio power business in Morgan mountain (California) and Chandler (Arizona), and China, Sweden, Finland and South Korea. Morgan's most advanced back-end manufacturing, and the leading intellectual property (IP) and technical combination are also within the deal. The transaction does not include Morgan, the Infineon smart card and security service (CCS) department, which will remain here and continue to operate as Infineon's business.

CREE obtained 345 million euros from cash and lending on its circulatory credit lines. Infineon RF power business will become an integral part of CREE's Wolfspeed business department. It will increase its annual revenue by about 115 million dollars within twelve months after purchase. In addition, the goal of the purchase is to increase the non GAAP earnings per share of CREE in the first quarter, which will be the fourth quarter of CREE, ending in June 24, 2018. Non GAAP earnings per share do not include costs related to the amortization of acquired intangible assets, share based compensation costs and one-time acquisition related costs.

About CREE Limited:

CREE is the Wolfspeed power and radio frequency (RF) semiconductor lighting, LED lighting products and innovative manufacturers. The products of CREE include silicon carbide, power conversion equipment and RF equipment, for electric vehicles, fast charging, inverter, power supply, telecommunications and mil/areo applications. CREE's LED products include blue, green LED chips, high brightness LED and illumination level power lamps, for indoor and outdoor lighting, video display, traffic, electronic identification and signal. CREE's LED lighting system and lamps are suitable for indoor and outdoor applications.

For more information on products and companies, see www.cree.com.

On the radio frequency power service of Infineon for wireless infrastructure

Infineon has a leading market position in radio frequency power products. By adopting LDMOS and silicon carbide based gallium nitride (GaN-on-SiC) technology, these products focus on providing radio frequency discrete transistors and power amplifiers (RF PAs) with MMIC for wireless infrastructure.

About Infineon

Infineon technology stock company is the world's leading semiconductor technology company, we make people's lives more convenient, safe and environmentally friendly. Infineon's microelectronic products and solutions will lead you to a better future. In fiscal year 2017 (by September 30th), the company's sales amounted to 7 billion 100 million euros, with about 37500 employees worldwide. Infineon on the Frankfurt Stock Exchange (Stock Exchange)