Amphenol to acquire Commscope unit in $10.5bn deal

October 2025 | DEALFRONT | MERGERS & ACQUISITIONS

Financier Worldwide Magazine

October 2025 Issue

In a transaction that will significantly strengthen its position in the US wireless infrastructure market, global interconnect specialist Amphenol Corporation has announced a definitive agreement to acquire the connectivity and cable solutions (CCS) business of CommScope for $10.5bn in cash.

Amphenol plans to finance the acquisition through a combination of cash on hand and debt, with committed financing secured from JP Morgan Securities LLC, BNP Paribas and Mizuho Bank, Ltd.

Following the transaction, CommScope intends to repay all outstanding debt and redeem all preferred equity held by global investment firm Carlyle. After applying modest leverage to its remaining operations, CommScope expects to retain significant excess cash, which it plans to distribute to shareholders as a dividend within 60 to 90 days of closing. The exact amount and timing of the dividend will be determined after the transaction closes and will depend on prevailing financial conditions and board approval.

The acquisition will enhance Amphenol’s interconnect product capabilities in the rapidly expanding IT datacom sector, particularly through the addition of fibre optic solutions tailored for artificial intelligence and data centre applications. It will also broaden Amphenol’s portfolio of fibre optic and other interconnect products across communications networks and industrial markets.

R. Adam Norwitt, president and chief executive of Amphenol, stated: “We are excited by the prospect of adding the CCS business and its more than 15,000 talented employees to the Amphenol family. CCS is a premier and iconic business with a wide array of innovative fibre optic and other interconnect technology and product capabilities, as well as a broad intellectual property portfolio supported by robust research and development.”

CCS comprises three distinct divisions: data centre connectivity solutions, which supplies fibre optic interconnect products to IT datacom customers; broadband communications, which serves the communications networks market; and building connectivity solutions, which provides a wide range of interconnect products for current and next-generation building technologies in the industrial sector.

The CCS business is projected to generate approximately $3.6bn in sales and achieve EBITDA margins of 26 percent in 2025. The acquisition is expected to be accretive to Amphenol’s diluted earnings per share in the first full year following completion, excluding acquisition-related costs.

Earlier in 2025, Amphenol acquired CommScope’s mobile networks business, Andrew, for around $2bn. In 2024, it purchased CommScope’s outdoor wireless networks and distributed antenna systems businesses for $2.1bn.

The CCS acquisition is anticipated to close in the first half of 2026, subject to customary closing conditions. These include receipt of applicable regulatory approvals and the affirmative vote of CommScope shareholders, which is required under Delaware law due to the size and nature of the transaction.

Chuck Treadway, chief executive of CommScope, commented: “This transformational deal unlocks equity value, returns cash to our shareholders and strengthens our remaining businesses. Our ANS and RUCKUS divisions will remain focused on delivering value to shareholders, customers, employees and other stakeholders. We will continue to develop the next generation of network connectivity. CommScope’s CCS business is well positioned to thrive under Amphenol’s leadership.”

JP Morgan Securities LLC is acting as financial adviser to Amphenol, with Latham & Watkins LLP providing legal counsel. CommScope is being advised by Evercore, with legal support from Alston & Bird LLP.

CommScope has confirmed that it will file a proxy statement with the US Securities and Exchange Commission in connection with the shareholder vote. Investors are encouraged to review this document once available, as it will contain important information about the proposed transaction.

Mr Norwitt concluded: “With our acquisition of the Andrew business and now the pending acquisition of CCS, we look forward to these outstanding businesses thriving within Amphenol’s unique operating model.”

Fraser Tennant