DURHAM – Cree now has more cash to fund its $1 billion expansion plan, having closed on a $310 million deal.

The Durham-based semiconductor, power supply and LED  conglomerate has wrapped up the sale of its Lighting Products group to IDEAL Industries. The deal was announced in March and closed on Monday.

As Cree (Nasdaq: CREE) CEO Gregg Lowe had stated previously, proceeds from the sale provide capital for growth plans.

“The company will use the proceeds from the sale to accelerate the growth of Wolfspeed, its Power and RF business, and expand its semiconductor operations,” Cree said in the closing announcement.

Cree announced the expansion plan last week.

Cree to invest $1B in Durham for ‘mega factory,’ chip manufacturing, will add jobs

The sale to IDEAL frees Cree of several products and solutions, including LED lighting fixtures.

Lowe has made Wolfspeed the focus of the company going forward.

“This represents a pivotal chapter for Cree as we sharpen our focus to become a semiconductor powerhouse in silicon carbide and GaN technologies,” Lowe said in a statement. “Cree’s technologies are helping to power major transitions in our economy, whether it’s the automotive industry’s transition to electric vehicles or the telecommunications sector’s move to faster 5G networks. Our leadership in silicon carbide and GaN positions us well to help customers improve performance and realize greater efficiencies.”

With the sale completed, here is how Cree now describes the company:

“Cree is an innovator of Wolfspeed power and radio frequency (RF) semiconductors and lighting class LEDs. Cree’s Wolfspeed product families include silicon carbide materials, power-switching devices and RF devices targeted for applications such as electric vehicles, fast charging, inverters, power supplies, telecom and military and aerospace. Cree’s LED product families include blue and green LED chips, high-brightness LEDs and lighting-class power LEDs targeted for indoor and outdoor lighting, video displays, transportation and specialty lighting applications.”

Investors love Cree selling Lighting Products group for $310M; stock hits new high