Clearfield, Inc. announced the divestiture of its Nestor Cables business through a management buyout led by the Nestor Cables management team.
Nestor Cables designs and manufactures fiber optic cables, connectivity accessories, and instrumentation for fiber optic networks in the European market.
The divestiture will sharpen Clearfield's focus on its core business and capitalize on higher-return opportunities aligning with its strengths.
Divestiture of Nestor Cables
Clearfield sold its Nestor Cables business through a management buyout by certain members of the Nestor Cables management team.
Focus on Core Business
The divestiture will allow Clearfield to focus more on its core business operations and high-return opportunities.
Impact on Operations
The sale of Nestor Cables will result in streamlining Clearfield's manufacturing process and reducing costs.
- The sale of Nestor Cables will have minimal cash impact on Clearfield, with a one-time charge expected in the fiscal fourth quarter of 2025.
- The transaction is anticipated to be accretive to Clearfield's operating margin and profitability moving forward.
Clearfield's divestiture of Nestor Cables marks a strategic move to enhance its core business focus and drive profitability in the future market landscape.