CommScope Holding Company, Inc. (NASDAQ: COMM), a global provider of connectivity and essential infrastructure solutions for communications networks, has agreed to acquire Airvana LP, a privately-held leader in small cell solutions for wireless networks.
Airvana, headquartered in Chelmsford, Massachusetts, provides award-winning 4G LTE and 3G small cell solutions that enable people to access communications, information and entertainment in the most challenging and high-value environments—offices, public venues and homes. Since its founding in 2000, Airvana has played a key role in enabling the use of mobile devices for data access. Airvana began small cell development to complement its macro cell mobile broadband infrastructure products and today focuses exclusively on small cells. Airvana has shipped 1.5 million small cells and supports one of the largest small cell networks in the world.
This acquisition will expand CommScope’s leadership and capabilities in providing indoor wireless capacity and coverage, an increasingly important market opportunity that is growing due to consumers’ and businesses’ insatiable demand for wireless data. The combination of Airvana’s innovative small cell offerings and CommScope’s industry-leading distributed antenna systems (DAS) portfolio will enable CommScope to provide a broader range of solutions, addressing single-operator, single-band, low capacity environments all the way through multi-carrier, multi-technology, multi-band, high capacity environments.
“Airvana has differentiated itself in the emerging indoor small cell market through its unique product architecture and innovation,” said Morgan Kurk, senior vice president and Wireless segment leader, CommScope. “With a 15-year track record of delivering mobile broadband infrastructure products that meet the requirements of Tier 1 operators, Airvana’s carrier-grade embedded software development capabilities are impressive and complementary to CommScope.
“As the wireless industry evolves toward Cloud RAN, we believe that CommScope’s ION-E® solution and Airvana’s OneCell™ Cloud RAN small cell system together will comprise a full range of highly flexible, cost-effective solutions that address all the indoor wireless challenges customers face. I look forward to welcoming Airvana to CommScope and working with its talented team to provide the wireless solutions needed for today and into the future.”
Richard Lowe, Airvana’s president and chief executive officer; Vedat Eyuboglu, Airvana’s co-founder and chief technology officer; and Airvana’s existing employees, most of whom are in Chelmsford, Mass. and Bangalore, India, will join CommScope. The acquired business will continue to be headquartered in Chelmsford and will operate within CommScope’s Wireless segment upon completion of the acquisition.
“Our breakthrough Cloud RAN small cell architecture represents a dramatic advance in wireless performance, capacity and deployment economics,” said Eyuboglu. “With CommScope, we will be perfectly positioned to realize its full potential.”
“We look forward to pairing our expertise in small cells with CommScope’s broad portfolio and global presence,” said Lowe. “Combining our capabilities will create an extensive set of indoor wireless solutions to meet the evolving needs of our customers. Moreover, we believe CommScope’s global marketing, distribution and support capabilities will enable us to rapidly grow the business for our small cell products. CommScope's intent to remain a leader in small cells through technology innovation and their commitment to their workforce makes it an excellent home for the Airvana business.”
Airvana’s 4G small cell product portfolio includes OneCell, the world’s first Cloud RAN small cell system, targeted for enterprise and public venue LTE deployments. OneCell has won multiple technology awards, including the Outstanding Overall Mobile Technology award at Mobile World Congress 2015. Airvana also introduced recently the S1000 Small Cell for small and medium businesses, and is a finalist for the Emerging Technology Award at CTIA Super Mobility 2015 September 9-11 in Las Vegas. Both small cell solutions are managed via the Airvana Device Management System, a comprehensive, highly scalable small cell management system that enables plug-and-play provisioning of small cells, self-organizing networks (SON) and performance monitoring.
The acquisition, which is structured as a purchase of substantially all of Airvana’s assets, is expected to be completed within the next 60 days. CommScope intends to fund the acquisition with cash on hand. Additional terms of the acquisition were not disclosed.
Robinson Bradshaw & Hinson, P.A. is serving as legal advisor to CommScope. Pacific Crest Securities is serving as financial advisor to Airvana and Sidley Austin LLP is serving as its legal advisor.
ION-E is a registered trademark of CommScope, Inc. OneCell is a trademark of Airvana LP.
CommScope (NASDAQ: COMM) helps companies around the world design, build and manage their wired and wireless networks. Our vast portfolio of network infrastructure includes some of the world’s most robust and innovative wireless and fiber optic solutions. Our talented and experienced global team is driven to help customers increase bandwidth; maximize existing capacity; improve network performance and availability; increase energy efficiency; and simplify technology migration. You will find our solutions in the largest buildings, venues and outdoor spaces; in data centers and buildings of all shapes, sizes and complexity; at wireless cell sites; in telecom central offices and cable headends; in FTTx deployments; and in airports, trains, and tunnels. Vital networks around the world run on CommScope solutions.
Airvana enables mobile operators to deliver dramatically better service to subscribers in the most challenging and high-value environments: offices, public venues, and in the home. The company’s award-winning 4G LTE and 3G small cell solutions ensure “five bar” voice coverage, superior data performance, and expanded capacity for wireless services. Independent research firms consistently rank Airvana among the small cell market share leaders. Headquartered in Chelmsford, Mass., USA, Airvana is a founding member of the Small Cell Forum and has 15 years of experience providing commercial wireless equipment to over 90 operators globally..
Jennifer Crawford, CommScope
Phil Armstrong, CommScope
Rick Aspan, CommScope
This press release includes forward-looking statements that are based on information currently available to management, management’s beliefs, as well as on a number of assumptions concerning future events. Forward-looking statements are not a guarantee of performance and are subject to a number of uncertainties and other factors, which could cause the actual results to differ materially from those currently expected. In providing forward-looking statements, the company does not intend, and is not undertaking any obligation or duty, to update these statements as a result of new information, future events or otherwise.