Andrew Completes Sale Of Satellite Communications Business
[Satellite Today – 2-1-08] Andrew Corp. completed the sale of its satellite communications business to private equity firm Resilience Capital Partners, Andrew announced Dec. 31.
The business will be operated as an independent company called ASC Signal Corp. and will continue operations from its facilities in the United States, Canada, the United Kingdom, Germany and select regional locations around the globe.
Andrew, which was acquired by CommScope Inc. in December, received $8.5 million in cash and a $2.5 million note from ASC Signal that will mature in 39 months. Andrew also will own a 17.9 percent share of ASC Signal and provide transition support services to the new company. In addition, Andrew expects to receive an additional $2.5 million note upon completion of certain manufacturing asset transfers to an ASC Signal facility. The company also may receive up to an additional $25 million in cash after three years, based upon ASC Signal’s achievement of certain financial targets.
“We are excited and optimistic about the future of ASC Signal under the new Resilience ownership,” Bassem Mansour, managing partner of Resilience, said in a statement. “From the onset, the transition will appear seamless and should minimize any risk of disruption to customers, suppliers and our employees.”