Mercury Systems Buys Pentek in Radar, Electronic Warfare Market Expansion Push; Mark Aslett Quoted
“The acquisition of Pentek is a great fit for our market and a low-risk content expansion strategy.” Mark Aslet, president and CEO of Mercury and a 2021 Wash100 Award winner, said in a statement issued Thursday.
“Their capabilities add scale and breadth to Mercury’s existing portfolio of mixed signals and deepen our penetration of our core radars, e-warfare (EW) and intelligence markets signals,” Aslet added.
Pentek designs and manufactures robust, commercially available software-defined radios, recording systems and subsystems, and boards for data collection for defense and commercial applications. New Jersey-based company Upper Saddle River is expected to record about $ 20 million in revenue for Mercury’s fiscal year ending July 1, 2022.
The transaction in full cash is subject to adjustments in net debt and net working capital and is expected to be effective immediately for adjusted earnings per share.
Mercury said it was using available cash and a revolving credit facility to finance the acquisition and related costs, and expected part of the deal to be treated as a sale of assets for tax purposes.