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Prysmian Group to Acquire General Cable for $30.00 per Share in Cash

The Italian cable group Prysmian, world leader in the energy and telecom cable systems industry, announced on December 4 it would acquire US rival General Cable for $30 per share in cash in a definitive deal, valuing the US group at about $3bn, including debt. The transaction is expected to close by the third quarter of 2018.

Prysmian Group has nearly 140 years of experience, 21,000 employees across 50 countries and 82 plants, with sales of over €7.5 billion in 2016. It is strongly positioned in high-tech markets and offers the widest possible range of products, services, technologies and know-how. It operates in the businesses of underground and submarine cables and systems for power transmission and distribution, of special cables for applications in many different industries and of medium and low voltage cables for the construction and infrastructure sectors. For the telecommunications industry, the Group offers a comprehensive range of optical fibres, optical and copper cables and connectivity systems.

General Cable with headquarters in Highland Heights, Kentucky, is one of the largest wire and cable manufacturing companies in the world. It is a global leader in the development, design, manufacture, marketing and distribution of aluminum, copper and fiber optic wire and cable products for the energy, communications, transportation, industrial, construction and specialty segments.

“The acquisition of General Cable represents a landmark moment for Prysmian Group,” said Valerio Battista, Prysmian Group CEO. “Through the combination of two of the premier companies in the cable industry, we will be enhancing our position in the sector.”

Based on pro forma aggregated results for the twelve months ended September 30, 2017, the combined group would have had sales of over €11 billion and adjusted EBITDA of approximately €930 million.

The transaction will be financed through a mix of new debt, cash on hand and existing credit lines.

For more information, see here.