Intel Corp. announced on Monday that it had spun off its solar energy technology into an independent company called
SpectraWatt to manufacture and supply photovoltaic cells to solar module makers. Intel Capital invested $50 million in the startup. Cogentrix Energy, LLC, a subsidiary of The Goldman Sachs Group, Inc., PCG Clean Energy and Technology Fund, and Solon AG were co-investors.
The deal is similar to one announced June 9, in which Freescale Semiconductor Inc.
spunout EverSpin Technologies with an assist from New Venture Partners. On June 3, Credit Suisse created
DynamicOpps LLC to commercialize software developed by an in-house research team. It's the bank's first attempt at spinning out technology.
As most dealmakers are well aware, spinning out a business is hard.
The strategy raises all kinds of separation issues - from losing key intellectual property and personnel to aligning with outside investors and untying business systems. Based on deal activity over the past few weeks, though, those challenges haven't dampened enthusiasm for spinning.
- Suzanne Stevens
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