At the same time, The Carlyle Group has taken a $1 billion minority investment in CommScope as part of its financing of the deal. The confirmation of the acquisition comes a few weeks after reports started to appear about a possible take-over.
“After a comprehensive evaluation of our business and the evolving industry we operate in, we are confident that combining with Arris is the best path forward for CommScope to grow and provide the greatest returns for shareholders,” said Eddie Edwards, president and chief executive officer, CommScope. “CommScope and Arris will bring together a unique set of complementary assets and capabilities that enable end-to-end wired and wireless communications infrastructure solutions that neither company could otherwise achieve on its own.
CommScope was spun off from General Instrument in 1997, the company to which Arris can trace back the heritage of the set-top box side of the business.
“With CommScope, we expect to further advance Arris’ strategy to drive innovation across our iconic brands and pioneer the standards and pathways for tomorrow’s personalised, connected always-on consumer experience,” added Arris chief executive officer Bruce McClelland (pictured above).
“Arris will become part of an even stronger, more global industry leader, and I look forward to working with the CommScope team to achieve great results for the combined company.”
Arris also brings its core business of broadband modems, gateways and routers, along with Enterprise Networks, incorporating the recently acquired Ruckus Wireless and ICX Switch businesses.