CommScope has completed its $7.4 billion acquisition of Arris.
Eddie Edward, president and CEO of Hickory, N.C.-based CommScope, will lead the combined company that touts around 30,000 workers, 15,000 patents and $850 million in annual R&D spending.
Bruce McClelland, formerly CEO of Atlanta-based Arris, will now assume the role of chief operating officer of CommScope. The company hasn’t publicly discussed any layoffs. But it did say it hopes to experience $150 million in cost synergies in year three of the transaction.
Private equity firm The Carlyle Group will become a minority owner of the combined company with its $1 billion equity investment.
The two combines had combined pro forma revenue of $11.3 billion in 2018.
Announcing the deal in November, the telecom vendors pitched a merger based on mutual interests in wired/wireless convergence associated with 5G, as well as applications like CBRS.
“This is a major milestone in the evolution of these two great companies and a significant moment for our industry,” Edwards said in a statement. “With the completion of this exciting transaction, we are creating a new CommScope that will help shape communications connectivity and networks of the future with greater technology, solutions and employee talent. We are committed to building on our well-established track record in prior transactions of meeting or exceeding our synergy targets and generating significant value for shareholders.”
Added McClelland: “Together, we combine great employee talent and experience, an impressive record of innovation and industry firsts, and a sharp focus on creating a world-class customer experience. The entire Arris team and I are eager to get started and help make CommScope one of the top names in technology.”