06:23 AM EST, 11/08/2024 (MT Newswires) -- Mattr ( MTTRF ) on Friday agreed to acquire AmerCable, a U.S. manufacturer of highly engineered wire and cable solutions used in mission critical applications, from Nexans USA for US$280M, or approximately C$390M.

The price is approximately 5 times adjusted ebitda over the 12-month ended June 30, Mattr ( MTTRF ) said. The transaction, which is expected to close around year-end, is subject to customary closing conditions including U.S. antitrust approval.

AmerCable will be incorporated into Mattr's ( MTTRF ) Connection Technologies reporting segment. Mattr ( MTTRF ) said the acquisition will position it as a leading custom engineered cable manufacturer in North America.

"The pending acquisition of AmerCable will be a significant step forward in Mattr's ( MTTRF ) strategy to enhance our wire and cable business exposure within the large and growing U.S. market," said Mike Reeves, Mattr's ( MTTRF ) president and CEO. "This transaction will broaden our existing portfolio of highly engineered low voltage electrical power, control and instrumentation cable solutions, while also adding medium voltage electrical power, control and instrumentation cable solutions and enhancing our North American manufacturing capacity, allowing Mattr ( MTTRF ) to better serve customers in both Canada and the U.S."

Mattr ( MTTRF ) edged up 0.03 to $13.09 yesterday.