CommScope acquires Cable Exchange to tackle hyperscale data center market
CommScope will acquire Cable Exchange, a privately held, quick-turn supplier of fiber optic and copper assemblies for data, voice and video communications.
CommScope is a global provider of infrastructure solutions for communications networks.
The company's solutions are deployed in a range of locations and facilities, including in data centers and buildings of all sizes, wireless cell sites, telecom central offices, as well as airports, trains and tunnels.
The global company has a large footprint in China in particular with facilities located in Beijing, Shanghai, Guangzhou, Shenzhen, as well as facilities outside of mainland China in Taiwan and Hong Kong.
Headquartered in Santa Ana, California and founded in 1986, Cable Exchange manufactures a variety of fiber optic and copper cables, trunks and related products used in high-capacity data centers and other business enterprise applications.
CommScope says the acquisition will strengthen its ability to support the growing high-capacity, multi-tenant data center and hyperscale data center market.
As more user-driven information and commerce flows through networks, operators are quickly deploying larger and more complex data centers to support growth in traffic and transactions, claims CommScope.
"We are pleased to further expand our capabilities in the data center market with Cable Exchange, a trusted and respected provider of critical network infrastructure with strong customer relationships," comments CommScope president and CEO Eddie Edwards.
"Further, we believe the people, products and performance of Cable Exchange are a great match for CommScope.
Edwards says that while the overall business environment remains challenging, the company believe Cable Exchange's leadership in the attractive quick-turn industry will complement CommScope's efforts in addressing this market.
The leadership team and employees of Cable Exchange will join CommScope upon completion of the transaction.
The acquisition is expected to be completed within the next 60 days, subject to customary closing conditions, including receipt of regulatory approvals.
CommScope intends to fund the acquisition with cash on hand. Additional terms of the deal were not disclosed.
Cable Exchange will operate as a stand-alone business within CommScope's Connectivity Solutions segment.
"We are thrilled to partner with an industry leader like CommScope," says Cable Exchange president Joey Hynes.
"We look forward to building upon our teams' capabilities to serve the growing data center market."
