Wolfspeed To Sell RF Business; Updates Outlook To Reflect Continuing Operations

(RTTNews) - Wolfspeed, Inc. (WOLF) has entered into a definitive agreement to sell its radio frequency business or Wolfspeed RF, to MACOM Technology Solutions Holdings, Inc. (MTSI) for approximately $75 million, and 711,528 shares of MACOM common stock, valued at $50 million. The company noted that the operations of the RF business will be classified as discontinued operations. As a result, the company updated its guidance to reflect continuing operations only.

For the first quarter of fiscal 2024, Wolfspeed targets revenue from continuing operations in a range of $185 million to $205 million. GAAP net loss from continuing operations is slightly improved from prior business outlook, and is targeted at $138 million to $163 million, or $1.10 to $1.30 per share. Non-GAAP net loss from continuing operations remains unchanged from prior business outlook, and remains targeted at $75 million to $94 million, or $0.60 to $0.75 per share.