CommScope rallies on deal to sell units to Amphenol for $2.1 billion

By Steve Gelsi

Stock in Claremont, N.C.-based CommScope moved up by 11%-plus.

CommScope Holding Co. Inc.'s stock jumped more than 11% on Thursday after the networking technology company said it agreed to sell two business units with a combined 4,000 employees to Amphenol Corp. for $2.1 billion.

Amphenol Corp. (APH) is buying CommScope's (COMM) outdoor wireless network business, as well as its distributed antenna systems business.

Amphenol stock was up 1.7% on Thursday, while CommScope's rock rose 19 cents to $1.90.

Amphenol said the acquisition will add to its earnings in its first full year after the deal closes as expected in the first half of 2025. It said it will provide more commentary around the deal on July 24 when it reports second-quarter earnings.

Goldman Sachs & Co. LLC was Amphenol's adviser on the acquisition, while Moelis & Company advised CommScope.

Including Thursday's moves, CommScope stock is down 32.5% in 2024, compared to a 19.7% increase by the Nasdaq.

-Steve Gelsi

This content was created by MarketWatch, which is operated by Dow Jones & Co. MarketWatch is published independently from Dow Jones Newswires and The Wall Street Journal.

(END) Dow Jones Newswires

07-18-24 1049ET

Copyright (c) 2024 Dow Jones & Company, Inc.