CUI expects to utilize the proceeds from the sale to implement its strategy to build an infrastructure services company and for general corporate purposes, according to a statement.
Bel Fuse, based in New Jersey, designs and manufactures products that power and protect electrical circuits in telecommunications, transportation and other industries.
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"With this sale and our previously announced divestiture of our Electromechanical components business, CUI Global has largely exited its former Power & Electromechanical segment businesses. These asset sales were a critical part of our transformation and served to strengthen our balance sheet as we move forward in executing on our energy-centric growth strategy," said CEO Jim O'Neil.
The sale, which came out of the company’s Power & Electromechanical (P&EM) segment, notably does not include the company’s roughly 20% stake in Virtual Power Systems related to that company's Intelligent Control of Energy software platform.
The decision is part of a larger shift by CUI to transform the structure of its company. In October, the Oregon-based energy and technology-services company announced the sale of its electromechanical business for $15 million, which also came out of the P&EM segment.
CUI’s stock recently traded up nearly 1% to $1 a share in New York.
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