Business
Clearfield Closes Acquisition of Nestor Cables Oy, a Leading European Developer and Manufacturer of Fiber Optic Cable Solutions
MINNEAPOLIS, Minn., July 27, 2022 (GLOBE NEWSWIRE) -- Clearfield, Inc. (“Clearfield”) (NASDAQ: CLFD), the specialist in fiber management and connectivity
About this update from Clearfield, Inc.
[{"type":"text","content":"MINNEAPOLIS, Minn., July 27, 2022 (GLOBE NEWSWIRE) -- Clearfield, Inc. (“Clearfield”) (NASDAQ: CLFD), the specialist in fiber management and connectivity platforms for communication service providers, closed its previously announced acquisition of Finnish company Nestor Cables Ltd. (“Nestor”), a leading developer and manufacturer of fiber optic cable solutions on July 26, 2022. The total transaction value including fees of approximately USD $23 million and was funded primarily through Clearfield’s credit facility. Nestor will operate as subsidiary of Clearfield and its financial results will be reported accordingly. Clearfield expects to the acquisition to be accretive to earnings in fiscal 2023, pending closing and standard integration costs. “Closing the acquisition of Nestor is a significant accomplishment for Clearfield, and we are thrilled to welcome the Nestor team to Clearfield at this important moment for the fiber broadband industry,” said Company President and CEO Cheri Beranek. “Our relationship with Nestor spans over a decade, as a developer and component supplier for our growing FieldShield product line. The strategic acquisition enables us to vertically integrate the design and supply of FieldShield cable to meet future customer demand, particularly in the North American market. Furthermore, we intend to expand fiber optic cable production at our Mexico manufacturing facility beginning in early 2023, leveraging the Nestor team’s deep technical expertise. We look forward to working closely with the Nestor team to realize the many synergies that the combination offers our two companies.” Clearfield will be hosting its fiscal third quarter 2022 conference call on Thursday, July 28, 2022 at 5:00 p.m. Eastern time, during which management will discuss Nestor’s business in greater detail. Final valuation work and integration that will help clarify Nestor’s future impact on Clearfield’s consolidated financials will be completed by the end of Clearfield’s fiscal year end. Additional details regarding the transaction can be found in the Company’s Current Report on Form 8-K that will be filed on Thursday, July 28th, 2022, and available in the Investor Relations section of Clearfield’s website here. About Clearfield, Inc. Clearfield, Inc. (NASDAQ: CLFD) designs, manufactures, and distributes fiber optic management, protection...