CommScope Inc. recently completed its acquisition of Andrew Corp. for a total purchase price of about $2.65 billion. Andrew will become a wholly-owned subsidiary of CommScope.
"We are delighted with the closing of the Andrew transaction, which marks a new chapter in the history of our company," said Frank M. Drendel, Chairman and CEO of CommScope. "We believe this combination will further enhance CommScope's position as [one of the] worldwide leaders in 'last mile' solutions. With this acquisition, we are advancing CommScope's stated global 'last mile' strategy while creating important cost reduction and growth opportunities that we believe will drive increased shareholder value. We look forward to working with Andrew's talented team to quickly and smoothly integrate their operations into CommScope. As we continue to invest in the combined business for profitable growth, the talented and dedicated employees of both Andrew and CommScope will continue to play a critical role in the success of the combined company. CommScope is a proven and successful integrator of strategic transactions and we expect to begin realizing the benefits of this combination immediately and enjoy them fully over the next few years."
Andrew stockholders will receive, for each Andrew share, $13.50 in cash and 0.031543 shares of CommScope common stock. This fractional share of CommScope common stock was calculated according to the terms of the merger agreement by dividing $1.50 by $47.554, which was the volume weighted average of the closing sale prices for a share of CommScope common stock over the ten consecutive trading days ending on December 24, 2007.
