(Corrects first paragraph to clarify that the buyout deal value
Oct 11 Telecommunications equipment company
CommScope Holding Co Inc set pricing terms for its initial
public offering, which could value the company at up to $3.9
billion, about three years after being taken private by Carlyle
Group LP in a deal valued at $3.9 billion, including
CommScope said it expects the offering of 38.5 million
shares to be priced at between $18 and $21 each, raising over
The company is selling 30.8 million shares in the IPO, with
affiliates of Carlyle offering the remaining shares, according
to CommScope's regulatory filing on Friday. (r.reuters.com/cyq73v)
Carlyle will hold an about 75 percent stake in CommScope
after the offering, if the underwriters exercise their option to
purchase additional shares.
CommScope is a major manufacturer of cables that underpin
high-speed data networks. It traces its roots to Superior Cable
Corp, a telephone cable company created in 1953, and changed
ownership several times until it went public in 1997.
Hickory, North Carolina-based CommScope in August filed to
raise up to $750 million through its IPO.
Network equipment makers have been benefiting from a
recovery in spending by telecom service providers who are
upgrading their networks to handle a surge in data traffic.
CommScope said it estimates net sales for the quarter ended
September to fall marginally year-over-year to $880-$895 million
due to lower broadband sales.
The company, which counts AT&T Inc, Verizon
Communications Inc and Comcast Corp among its
major customers, said it expects operating income for the
quarter to be between $95 million and $105 million.
CommScope intends to list its common stock on the Nasdaq
under the symbol "COMM". JPMorgan, Deutsche Bank Securities and
BofA Merrill Lynch are the lead underwriters to the offering.
(Reporting by Aman Shah in Bangalore; Editing by Maju Samuel)