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01 Jun 15. UK’s Ultra to acquire EW Division of Kratos. British defense company Ultra Electronics has further increased its position in the US market with the June 1 announcement that it is paying US $265m to acquire the electronic products division (EPD) of Kratos Defense & Security. Ultra said the acquisition, which remains subject to US regulatory approval, will help it establish a major presence in a US electronic warfare market that is growing at more than 3 percent annually. EPD designs and produces RF and microwave integrated systems and components for use in electronic warfare, radar, communications, missiles and other market areas. Key platforms include the P-8A Poseidon, EA-18G Growler and Trident missile. In a statement, Ultra said electronic warfare is a core market in which it is under-represented. The acquisition also will augment the company’s presence in Australian and Canadian markets, they said. The purchase of EPD, formerly known as Herley Industries, is the latest in a string of small acquisitions in various sectors of the US market in recent times. Forensic Technology, 3 Phoenix and ICE were all acquired last year. North America already dominates Ultra revenues, accounting for 44 percent of its £713m (US $1.08bn) sales last year with the Pentagon being its biggest customer. Ultra operates globally in niche defense, security, transport and energy sectors. Rakesh Sharma, Ultra’s CEO, said EPD adds “significant core technologies in the RF and microwave sectors and complements the group’s communications and sensor portfolio. EPD has a strong position on supported legacy programmes as well as future strategic ones. Together, we have the technology, innovation and market reach which will enable us to enhance our market position in the attractive EW market, within the US and internationally.” EPD will become part of Ultra’s Tactical & Sonar Division and renamed Ultra Electronics Herley Industries. Richard Poirier remains president. Kratos acquired Herley Industries in 2011 for $270m. The Kratos-General Microwave Israel and Kratos GMI-Eyal businesses operated by EPD are not part of the sale. (Source: Defense News)
28 May 15. IMI privatisation draws interest from 12 potential investors. Twelve potential investors submitted requests to take part in the privatisation process of Israel Military Industries (IMI), the Israel Ministry of Finance (MoF) announced on 28 May. The MoF’s Government Companies Authority – which is overseeing the sale – said it would examine the requests for purchasing IMI together with Israel’s Ministry of Defense (MoD), with the sale scheduled to be completed by the end of 2015. The 12 companies that have expressed interest in purchasing IMI are: Elbit, Naska Industries – S K Group Ltd, Kanders IMI LLC, Mivtach Shamir Holdings Ltd, Fimi Five 2012 Ltd, The Renco Group Inc., Tara Horizon Inc., Invictus Holdings Inc., Coleridge Capital LLLP, Yuri Vinnik, Armaz Group, and SBM Consulting. (Source: IHS Jane’s)
01 Jun 15. L-3 Communications (NYSE:LLL) announced that on May 27, 2015 it acquired UK-headquartered CTC Aviation Group, now known as L-3 CTC Ltd. The purchase price is £143m (approximately $220m) and was funded with cash on hand. The acquisition is expected to be immediately accretive to L-3’s results of operations.
“Driven by a focus on the customer, quality, service and safety, this new partnership of world-class training devices and training delivery places L-3 Link UK and L-3 CTC in the unique position to provide customers with totally scalable training solutions whatever their requirements”
L-3 CTC is a high-quality, global airline pilot training and crew resourcing specialist that offers customized and innovative solution