Thursday, December 4, 2008

Nexans Partners with Sumitomo Electric for FTTH in Europe

Nexans and Sumitomo Electric Industries, Ltd. (SEI) have agreed to collaborate in optical fiber cable business for terrestrial telecommunications in Europe. The agreement concerns more specifically the deployment of FTTH networks and more generally FTTx applications.

Under the deal, SEI has entered into a joint venture agreement with Nexans to acquire 40% of the share capital of Opticable, a wholly-owned subsidiary of Nexans, based in Belgium, and fully dedicated to the design and manufacture of optical fiber cables for telecom terrestrial application. The transaction is subject to the approval of antitrust authorities and is expected to close by early 2009.

The companies said the synergies of Nexans' cable manufacturing facilities and its Sales & Network Engineering competences, combined with SEI's optical fiber production capacity and FTTH communications technology will bring added value to the European FTTH market.

SEI is a major manufacturer of electric cables, optical fibers and components, and within the TOP 5 of the world fibre producers, recognized as a leader in the FTTH related technology.

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