Nexans SA has entered into a Share Purchase Agreement to acquire Centelsa, a prominent Colombian cable manufacturer, for $225 million, enhancing its capabilities in the Latin American electrification market.

Target Information

Nexans SA, a prominent player in the global cabling industry, announced that it has entered into a Share Purchase Agreement with Xignux SA of Mexico to acquire Centelsa, a leading manufacturer of premium cables in Latin America. Centelsa holds a strong position in both the construction and utilities sectors, boasting sales exceeding $250 million. The transaction is valued at an enterprise value of $225 million and is anticipated to close in the first half of 2022, pending regulatory approvals and the fulfillment of customary closing conditions.

The acquisition of Centelsa, a noteworthy Colombian cable manufacturer, aligns with Nexans' strategic ambition to become a key player in Pure Electrification. This transaction not only reinforces Nexans' commitment to electrifying the globe but also enhances its ability to meet renewable energy project demands across the Andean region while broadening its footprint in Power Distribution and Building solutions.

Industry Overview in Colombia

Colombia's cable manufacturing industry is experiencing growth and transformation, driven by increasing investments in construction and energy projects. The country's commitment to expanding renewable energy sources has created a robust demand for high