Telecom infrastructure company CommScope announced plans to buy equipment manufacturer Arris International in a $7.4 billion all-cash deal, as part of a bid to adapt to increasing overlap in the fixed and mobile communications markets.

CommScope said the deal will more than double its addressable product market to more than $60 billion and yield a company with annual revenue of around $11.3 billion, based on financial results for the two companies in the 12 months to end-September.

In a statement, CommScope CEO Eddie Edwards said the move brings together complementary assets which will enable the company to offer a line of end-to-end fixed and mobile “infrastructure solutions that neither company could otherwise achieve on its own”.

“With Arris, we will access new and growing markets, and have greater technology, solutions and employee talent that will provide additional value and benefit to our customers and partners.”

Arris’ focus areas include the manufacture of customer premise equipment including set-top boxes and routers, and integration of network infrastructure with the cloud.

As part of the transaction, CommScope agreed to pay Arris shareholders $31.75 per share and also committed to repay Arris’ debt.

The acquisition will be funded primarily using cash on hand and $6.3 billion in incremental debt.

However, CommScope noted private equity company The Carlyle Group, which formerly owned CommScope but sold off its remaining shares in 2016, will reinvest $1 billion in the company to make up the remainder of the purchase price.

The transaction is expected to close in the first half of 2019.