Prysmian Acquires Channell for $950 Million in Strategic Expansion

Prysmian, an Italian company focused on cabling and digital solutions, has announced its acquisition of Channell Commercial Corporation, a U.S.-based connectivity solutions provider, for $950 million. The strategic acquisition, subject to regulatory approval, includes a potential additional payment contingent on Channell meeting specific EBITDA targets by 2025. This move will significantly bolster Prysmian's footprint in North America, leveraging Channell's strong presence in connectivity solutions to accelerate growth in the data center, FTTX, and 5G sectors both in the U.S. and Europe. The acquisition is a critical step in Prysmian’s evolution from a cable manufacturer to an integrated solutions provider, enhancing its product portfolio and market competitiveness. Financial advisement for Channell was provided by Goldman Sachs, with legal counsel from DLA Piper, while Prysmian's legal advisement came from Freshfields. This acquisition, alongside hybrid debt and equity financing, including the sale of treasury shares, positions Prysmian to take advantage of increased digitalization and AI expansion in the market.