Nexans to sell LAN cable unit Berk-Tek to Leviton
Nexans says it has agreed to sell it Berk-Tek LAN cable subsidiary to Leviton. The deal, set to close before the end of the third quarter of this year, sets an enterprise value of $202 million on Berk-Tek.
Berk-Tek makes copper and fiber cables for data, voice, and power transmission in LAN applications. It employs approximately 350 people and operates manufacturing facilities in New Holland, PA, and Fuquay-Varina, NC. Berk-Tek and Leviton have operated a marketing alliance since 2013 (see “Berk-Tek Leviton Technologies alliance targets high-performance networks”).
The $202 million enterprise value is approximately a 10X multiple over 2019 standalone adjusted EBITDA, according to Nexans. Berk-Tek reported sales of $163 million in 2019, the company added.
“Our Berk-Tek colleagues will join a long-term partner with the best strategic fit to answer customers demand around connectivity,” commented Christopher Guérin, Nexans CEO. “Together with Leviton, the Berk-Tek team will focus on developing innovative local area network solutions that are critically important in managing the demand of today’s emerging technologies.”
“Berk-Tek is a highly respected North American cabling company with exceptional manufacturing and product development capabilities. By adding Berk-Tek to the Leviton family, we will be able to provide truly end-to-end solutions to our customers” added Daryoush Larizadeh, Leviton’s president.
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Stephen Hardy | Editorial Director and Associate Publisher, Lightwave
Stephen Hardy is editorial director and associate publisher of Lightwave and Broadband Technology Report, part of the Lighting & Technology Group at Endeavor Business Media. Stephen is responsible for establishing and executing editorial strategy across the both brands’ websites, email newsletters, events, and other information products. He has covered the fiber-optics space for more than 20 years, and communications and technology for more than 35 years. During his tenure, Lightwave has received awards from Folio: and the American Society of Business Press Editors (ASBPE) for editorial excellence. Prior to joining Lightwave in 1997, Stephen worked for Telecommunications magazine and the Journal of Electronic Defense.
Stephen has moderated panels at numerous events, including the Optica Executive Forum, ECOC, and SCTE Cable-Tec Expo. He also is program director for the Lightwave Innovation Reviews and the Diamond Technology Reviews.
He has written numerous articles in all aspects of optical communications and fiber-optic networks, including fiber to the home (FTTH), PON, optical components, DWDM, fiber cables, packet optical transport, optical transceivers, lasers, fiber optic testing, and more.
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