General Cable acquiring Alcan Cable in $185-million deal
By Anthony Capkun
May. 21, 2012 – General Cable Corp. is acquiring Alcan Cable, the wire and cable business of Rio Tinto plc, in a $185-million cash deal. The transaction is expected to close in the second half of 2012, subject to receipt of regulatory approval.
Alcan Cable employs about 1050 associates in its aluminum cable manufacturing and distribution facilities servicing the energy and construction markets in Canada, the United States, Mexico and China. On an annual basis, General estimates the acquisition will contribute about $650-700 million in revenues at current metal prices.
“I have long admired Alcan Cable and their singular and longstanding focus on being superb at their craft. Alcan Cable’s Stabiloy and Nual brand names are the gold standard for quality, packaging and service in the North American aluminum cable industry,” said Gregory B. Kenny, president and CEO of General Cable.
“Alcan Cable’s rich history, like General Cable’s, exceeds 100 years,” continued Kenny. “We look forward to sharing best practices and creating fresh career opportunities for the very dedicated and professional Alcan Cable team.”
“The addition of aluminum construction cables further expands the range of products we offer to distributors serving electrical and industrial contractors, and increases our capacity to efficiently serve our electric utility customers with transmission and distribution products,” added Gregory J. Lampert, president and CEO, General Cable North America.