S&P maintains General Cable

Standard & Poor's said the announcement that General Cable Corp. (B+/Stable/--) had reached an agreement to acquire the wire and cable manufacturing business of Safran SA would not affect the rating or outlook on General Cable.

The business operates under the names Silec and Sagem and is a leader in high-voltage underground links, as well as a supplier of energy and industrial cables to the French market. The business unit reportedly had €210 million of revenues in 2004, S&P said.

The total transaction consideration is €75 million, to be funded with cash and bank debt.

General Cable's financial leverage levels provide enough flexibility to undertake this transaction without negatively affecting the credit rating, S&P said.

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