Amphenol Corp. (APH), a manufacturer specializing in electronic and fiber optic connectors, announced on Thursday its agreement to acquire the mobile networks businesses of CommScope Holding Co., Inc. (COMM) for $2.1 billion in cash. Amphenol plans to finance this acquisition, expected to be finalized in the first half of 2025, through a combination of available cash reserves and debt.
The transaction is anticipated to enhance Amphenol's earnings per share within the first full year post-closing, excluding any acquisition-related expenses.
Adam Norwitt, CEO of Amphenol, expressed enthusiasm over the acquisition: "We are excited by the prospect of adding CommScope's mobile networks businesses and their approximately 4,000 talented employees to the Amphenol family. This acquisition further supports Amphenol's long-term growth and diversified market exposure across all segments of the electronics industry."
The acquisition entails CommScope's Outdoor Wireless Networks (OWN) division as well as the Distributed Antenna Systems (DAS) business, which is part of CommScope's Networking, Intelligent Cellular, and Security Solutions (NICS) segment.
These combined businesses are projected to achieve full-year 2024 sales of approximately $1.2 billion and EBITDA margins of around 25 percent.
