Penguin Solutions to sell Cree to Transom Capital
Fremont-based Penguin Solutions, which describes itself as an 'AI Factory Platform company', has agreed to sell its Cree LED business to private equity firm Transom Capital Group in an all-cash transaction, expected to close in Q1r 2027.
Cree LED will become a standalone LED business under Transom’s ownership, offering a range of LED technologies across lighting, displays, and specialty applications.
“Cree LED has an impressive legacy of innovation and an established reputation in the LED industry for high-quality products, reliable performance, and longstanding customer relationships worldwide,” said Conor Davenport, managing director at Transom. “We see significant opportunity to build on this foundation, leveraging our operational expertise and resources to position Cree LED for long-term success as a standalone company.”
The sell-off is part of Penguin's focus on its AI Factor strategy, which combines infrastructure software, memory, computer systems, and services.
“Today’s announcement marks another milestone in Penguin Solutions’ transformation into a pure-play, data centre-focused company at the intersection of AI infrastructure and memory,” said Kash Shaikh, president and CEO of Penguin Solutions.
