Channell Acquisition Strengthens Prysmian's FTTH Leadership
Deal News | Jun 16, 2025 | EIN
Prysmian, the world's largest cable solutions provider, has completed the acquisition of Channell Commercial Corporation for a base purchase price of $950 million, aimed at reinforcing its position as a leading provider of Fiber-to-the-Home (FTTH) solutions. Additionally, Prysmian may make an extra payment of up to $200 million contingent on Channell meeting specific EBITDA performance targets by 2025. This acquisition enhances Prysmian's product offerings and market reach, combining its optical cable products with Channell's infrastructure components, further solidifying its presence in North America. The integration is expected to offer comprehensive FTTH solutions, improving network deployment efficiency, service quality, and reducing costs. Prysmian plans to update its financial guidance by incorporating Channell's contribution with their mid-2025 results, underscoring its commitment to evolving from a cable manufacturer to a holistic solutions provider.
Sectors
- Telecommunications
- Digital Solutions
- Manufacturing
Geography
- United States – Channell Commercial Corporation, the acquired company, is based in the United States, playing a significant role in this acquisition affecting the North American market.
- Global – Prysmian operates on a global scale, and this acquisition impacts its worldwide operations, particularly in expanding its digital solutions business.
Industry
- Telecommunications – This article covers Prysmian's acquisition of Channell, indicating a strategic move to enhance its offerings in Fiber-to-the-Home solutions, vital for telecommunication infrastructures.
- Digital Solutions – The transaction aligns with Prysmian's strategy to bolster its digital solutions portfolio, including infrastructure for enhanced broadband and network capabilities.
- Manufacturing – Channell Commercial Corporation is engaged in the manufacturing of thermoplastic enclosures, aligning the industry classification with manufacturing sector activities.
Financials
- $950 million – Base purchase price for the acquisition of Channell Commercial Corporation.
- Up to $200 million – Potential additional payment subject to Channell achieving specified EBITDA targets by 2025.
- $320 million – Channell's net sales in 2024, demonstrating its financial scale and significance.
Participants
| Name | Role | Type | Description |
|---|---|---|---|
| Prysmian | Buyer | Company | The world's largest cable solutions provider, acquiring Channell to enhance its position in the FTTH space. |
| Channell Commercial Corporation | Target Company | Company | A leading U.S.-based manufacturer of thermoplastic enclosures and fiber management solutions. |
| Massimo Battaini | CEO of Prysmian | Person | Provided strategic commentary on the acquisition and its impact on Prysmian's competitive edge. |
| Frederick Persson | EVP Digital Solutions at Prysmian | Person | Highlighted the strategic benefits and enhanced capabilities resulting from the acquisition. |