Amphenol to Acquire CommScope's CCS Business for $10.5 Billion

Amphenol Corporation has announced a definitive agreement to acquire CommScope's Connectivity and Cable Solutions (CCS) business for $10.5 billion in cash. This strategic acquisition, expected to close in the first half of 2026 pending regulatory approvals, marks Amphenol's largest deal to date and is set to significantly enhance its position in the broadband and 5G markets.

The CCS segment designs, manufactures, and supports cabling and connectivity products for broadband, enterprise, and wireless networks. Amphenol anticipates that CCS will generate approximately $3.6 billion in sales with EBITDA margins of 26% in 2025. The transaction is projected to be accretive to Amphenol's diluted earnings per share in the first full year after closing.

"The acquisition adds new fiber-optic interconnect competencies to our offerings for the communications networks market," said Amphenol CEO R. Adam Norwitt. "In particular, CCS's broad portfolio of fiber-optic interconnect solutions for the rapidly growing IT datacom market, including for artificial intelligence applications, is highly complementary to Amphenol's already strong product offerings in this market."

Amphenol plans to finance the acquisition through a combination of cash on hand and debt, with committed financing from J.P. Morgan Securities LLC, BNP Paribas, and Mizuho Bank, Ltd. The deal is expected to close in the first half of 2026, subject to regulatory approvals and other customary closing conditions.

This acquisition follows Amphenol's earlier purchases of CommScope's Outdoor Wireless Networks and Distributed Antenna Systems businesses in February 2025. These businesses were expected to generate full-year 2025 sales of approximately $1.3 billion.

For CommScope, the sale is a significant step in its strategy to streamline operations and reduce its $9.4 billion debt. The company expects net proceeds after taxes and transaction expenses to be approximately $10 billion. After repaying all debt and redeeming all preferred equity held by global investors, CommScope plans to distribute the remaining funds to shareholders as a dividend within 60 to 90 days following the closing of the proposed transaction.

Following the announcement, shares of CommScope rose 42% in premarket trading, while Amphenol's stock increased by about 2%.

This acquisition signifies a major shift in the connectivity landscape, with Amphenol poised to capitalize on the growing demand for advanced interconnect solutions in the era of 5G and artificial intelligence. CommScope's divestiture aligns with its strategic focus on financial stability and core business operations.