Ultra Electronics Holdings has acquired US battlespace IT specialist ProLogic for an initial cash consideration of US$50m.
In addition, Ultra will pay US$5m as a retention incentive for key staff and up to a further US$8m to the vendors if certain growth targets are met over the next three years.
The acquisition is subject to regulatory approvals and is expected to close within 30 days.
It will be financed using Ultra's existing facilities and is expected to add to Ultra's 2008 earnings.
According to Ultra Electronics, the closing of the deal is expected to occur in no later than 30 days.
ProLogic provides specialised products and solutions for mission-critical enterprise IT, tactical data communication systems and intelligence processing infrastructures, as well as independent IT consulting services to US Government customers.
Ultra Electronics is a group of specialist advanced technology businesses that design, manufacture and support electronic and electromechanical systems, sub-systems and products for defence, security, aerospace and transport applications worldwide.
Ultra's products and services are used on aircraft, ships, submarines, armoured vehicles, surveillance systems, airports and transport systems.
By staff writer