IR Exploring Sale of All Non-Focus Products Business
International Rectifier is exploring the potential sale of all the company's Non-Focus Products business, including both its Non-Aligned Products and Commodity Products segments. Non-Focus Products comprised 23 percent of company revenues in the most recently reported quarter.
These products are not considered to be aligned with the company's long-term objectives or do not meet its gross margin and revenue growth targets. Goldman, Sachs & Co. has been retained to advise the company on a possible sale.
The company has previously announced plans to de-emphasize its commodity business and accelerate the transition to high-performance analog, mixed-signal, and digital ICs and advanced-circuit products. These products are currently included in the company's Focus Products group, which was 77 percent of revenues in the most recently reported quarter, with gross margins of 48 percent.