NEW YORK (AP) — Telecommunications equipment maker CommScope is paying $5.7 billion for Arris International as it prepares for the entrance of faster 5G service to the wireless market.
Arris makes modems and boxes for the wireless industry, including cable operators. Equipment makers and telecommunications companies like Verizon are all gearing up for 5G, which is expected to allow for higher and faster data rates and better connections between multiple devices.
Under the deal announced Thursday, CommScope Holding Co. will pay $31.75 per share for Arris International Plc. and assume the company's debt, bringing the total buyout price to about $7.4 billion. Also, asset manager The Carlyle Group is helping to finance the deal with a $1 billion investment in CommScope.