French cable manufacturer Nexans SA has agreed to acquire Republic Wire Inc. for an enterprise value of approximately €680 million, a strategic move to significantly expand its presence in the United States and capture a piece of the region’s high-growth, €12 billion low-voltage energy market.
"The acquisition of Republic Wire marks a transformative moment in Nexans' journey to become a reference pure player in electrification," Julien Hueber, Chief Executive Officer of Nexans, said. "Republic Wire gives us the expanded platform, the customer relationships and the operational credibility we need to compete in this highly dynamic market."
The all-cash deal, which includes a further potential earn-out of up to €43 million, will be financed through a combination of debt and existing cash on Nexans' balance sheet. The transaction values Republic Wire at 10.3 times its 2027 estimated adjusted EBITDA before synergies. Nexans' net leverage is expected to rise to approximately 1.2 times its 2025 adjusted EBITDA post-transaction, before deleveraging to below 1.0x by the end of 2028. The premium paid over Republic Wire's undisturbed price was not disclosed.
For Nexans, the acquisition provides an immediate and substantial manufacturing and distribution footprint in the U.S., a market it has targeted for growth. Republic Wire, a family-owned business founded in 1982, operates a 32,500-square-meter automated manufacturing facility and a new 30,000-square-meter distribution center in Cincinnati, Ohio. The company generated approximately €520 million in revenue over the twelve months through February 2026 and employs over 200 people.
Strategic Rationale and Synergies
The primary driver for the acquisition is access to the robust U.S. market, which is benefiting from sustained demand in residential and commercial construction as well as significant investment in data centers. Nexans plans to use Republic Wire’s established sales agent and distributor network to push its broader product portfolio, including medium-voltage and grid solutions, into the region.
Nexans anticipates generating approximately €23 million in run-rate synergies within three years of closing. The company stated that about half of these synergies are expected in the first year, driven by commercial cross-selling, the deployment of Nexans' manufacturing technology, and cost savings from purchasing scale and operational efficiencies. Implementation costs are estimated at around €23 million.
"In Nexans, I found a partner who shares those values, not just a buyer," said Ron Rosenbeck, CEO of Republic Wire. "Our management team and I will remain actively involved going forward, and I couldn't be more proud of what we have built together or more excited about what this partnership will mean for everyone who calls Republic Wire home."
The current Republic Wire management team, led by Ron and Jeremy Rosenbeck, will remain in place to oversee the business, with their interests aligned through the performance-based earn-out structure. The transaction is subject to regulatory approvals and other customary closing conditions and is expected to be finalized early in the third quarter of 2026. PJT Partners acted as exclusive financial advisor to Nexans, with White & Case LLP providing legal counsel.
This article is for informational purposes only and does not constitute investment advice.
