CommScope to acquire Casa Systems’ cable business assets

Source: Alamy.com

Technology outfit CommScope has secured a deal to acquire the cable business assets of Casa Systems after outbidding rival Vecima Networks.

According to CommScope, it entered a purchase agreement last Wednesday with Casa Systems with a winning bid of US$45.1 million to acquire the assets.

The deal emerged from an auction process under section 363 of the Delaware Bankruptcy Code. A sale hearing is scheduled for tomorrow and the transaction is expected to close June 6.

CommScope said that the acquisition would strengthen its Access Network Solutions unit’s leading market position, including enhancing its virtual CMTS and PON product offerings.

“As a leader in the cable industry, we are quite pleased by the opportunity to acquire Casa’s cloud-native network solutions. dding Casa’s technology to our portfolio will allow us to provide a seamless transition for our combined customer base that utilize both integrated and virtual CMTS products. This transaction provides stability to Casa’s customers while allowing CommScope to further grow our customer base as we enable customers to migrate to Distributed Access Architecture solutions on their own timeline,” said Chuck Treadway, CEO, CommScope.

Vecima Networks had previously been seen as the lead candidate to acquire the business after Casa Systems started a court-supervised process to carry out sales of its businesses under Chapter 11 bankruptcy rules.

In April, Casa Systems entered into a stalking-horse asset purchase agreement to sell the cable tech business to an affiliate of Vecima Networks, but asked the Delaware bankruptcy court to approve procedures for soliciting additional bids and to set an auction for mid-May.