Corning plans to purchase 3M Co.’s communications markets division for $900 million in cash.
The business includes optical fiber and copper cable connectivity products, and will expand Corning’s high-bandwidth portfolio, the company said Monday.
3M’s communications markets business, which is based in Austin, generates about $400 million in annual sales, according to Corning. About 500 3M employees will join Corning as part of the deal, which is expected to close in 2019.
“This transaction expands both our global market reach and our high-bandwidth portfolio. It also provides new co-innovation opportunities and enhances our ability to serve customers globally,” Clark Kinlin, EVP of Corning Optical Communications, said in a statement. “As the industry’s only true end-to-end manufacturer and supplier of optical solutions, we look forward to bringing these two strong organizations together and welcoming a group of outstanding employees.”
Corning said it intends to invest between $1 billion and $3 billion on acquisitions as part of its multi-year strategy and capital allocation plan.
