WCA March 2008

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Wire & Cable ASIA – March/April 2008 18
. . . and agrees to buy Madeco
Nexans has signed a framework agreement to acquire the cable business of
Madeco, in South America.
At current non-ferrous metal prices, the 2006 sales of the Madeco Group
cable business totalled US$ 672 million (€457 million), in three major
segments: cables for infrastructures, industry and building (and in electrical
wires to a lesser extent).
The organic volume growth for these segments was 12% per year during the
2004/2006 period. For the 2007 half-year, Madeco’s wire and cable sales
breakdown by country was approximately: 43% in Brazil, the largest market
in South America, 28% in Chile, 18% in Peru, 6% in Argentina, and 5% in
Colombia.
In all these countries, Madeco has a leading position thanks to its established
reputation and commercial image. These growing markets, Madeco’s leading
position, and its management excellence enabled the company to realise a
US$ 43 million (€29 million) EBITDA in the first half of 2007, representing an
operating margin of 10.6% of sales at current non-ferrous metal prices.
The closing of this acquisition is expected in the third quarter of 2008 and is
mainly subject to approval of Madeco’s and Nexans’ shareholders, as well as
relevant regulatory authorities.
Nexans – France Fax: +33 1566 98484
Email: Website:
Nexans has completed a contract for
Stadtwerke Konstanz GmbH to lay a
submarine fibre optic cable across
Lake Constance, Germany, providing
a new ultra-fast data communication
link between the German towns of
Konstanz and Friedrichshafen.
Konstanz and Friedrichshafen are on
opposite shores of Lake Constance,
the large freshwater lake on the Rhine
between Germany, Switzerland and
Austria.
Stadwerke Konstanz, the local utility,
wanted to upgrade the data com-
munications link between the two
towns. However, laying the cable on
land would have involved taking a long
route around the lake with expensive
excavation work. The direct route,
with the cable laid on the lake bed,
has proved more cost-effective.
The fibre-optic cable, weighing
more than 30 tons and 26 kilo-
metres long, was manufactured
and delivered by Nexans in one
single continuous piece thus
eliminating jointing operations.
Beneath a robust outer sheath, it
comprises four stainless steel
sheathed bunched conductors,
each consisting of 48 mono-mode
fibre optic cables.
Each individual fibre is capable
of ultra-quick transmission of
large amounts of data, digital
television signals and an almost
unlimited number of telephone
conversations.
A condition for Nexans receiving the
order was that the materials used in the
construction of the cable must not
harm the drinking water reservoir, as
many towns and communities, right
up to the northern border of Baden-
Württemberg, get their water from Lake
Constance.
Nexans – France
Fax: +33 15669 8484
Email:
Website:
Nexans lays cable on bottom of
Lake Constance, Germany
Workers lay the cable on the bed of
Lake Constance, Germany
m