German communication technology manufacturer Kathrein has announced it will sell its worldwide mobile radio antenna business to one of its largest customers, the Swedish network supplier Ericsson. Under the sale, approximately 4,000 Kathrein employees will join Ericsson to complement its in-house team for antenna and filter development, production and sales.
Ericsson is making the purchase via an asset deal, and it is expected to close in the third quarter of 2019. Excluding deliveries to Ericsson, the division generated 270 million euros in sales last year for Kathrein.
"The acquisition of Kathrein's antenna and filters business will expand our capabilities and competencies in the advanced active and passive antenna domain further. With the additional focus on the antenna and filter business led by Kathrein professionals, we will broaden our offering to further optimize site space, which is vital for the introduction of 5G,"said Ericsson division manager Fredrik Jejdling.
Read more about the deal here.
The Pryor Cashman Team
Juergen R. Ostertag, head of Pryor Cashman's German practice, is advising Kathrein on US legal matters related to the sale of US facets of the mobile antenna business, along with Labor + Employment Partner Joshua Zuckerberg, Bankruptcy, Reorganization + Creditors' Rights Partner Richard Levy, Jr. and Real Estate Associate John Rothman.
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