After rebuffing a takeover bid from CommScope last year for 1.7 billion, equipment maker Andrew Corporation has now agreed to a takeover. But the price tag is quite a bit heftier. CommScore will pay 2.6 billion, at least 90% in cash and the rest in stock. Andrew's stock has moved up dramatically since it said no to CommScope last August and also scuttled a merger with ADC Telecommunications (8/11/06 RBR #156), but even so the new buyout bid from CommScore constitutes a 13% premium to the average closing share price for Andrew over the past 30 days.
Based on CommScope's and Andrew's results for fiscal year 2006, on a pro forma basis, the combined companies would have had sales of approximately 3.8 billion comprised of approximately 35% in wireless antenna and cable products; 29% in carrier and network solutions; 21% in enterprise products; and 15% in broadband/cable television solutions.