Durham-based Cree, known for its LED lighting, is spinning off another company.
Cree is calling the new business group the Cree Power and Radio Frequency Division.
Sharon Belenzon is an Associate Professor of Strategy at Duke’s Fuqua School of Business. Belenzon says he was not surprised by the news.
“So this legal separation in many, many cases creates huge value when you have divisions which have high growth opportunities and divisions which have low growth opportunities," said Belenzon.