Paramount Group, a privately-owned defence and aerospace company, has acquired the South Africa-based Advanced Technology and Engineering Company (ATE) in a bid to leverage its growth and development of the defence industry.
Following completion of the transaction, ATE will be merged into the Paramount Group and will operate as Paramount Advanced Technologies.
The acquisition of ATE, which was placed under business rescue just under two years ago, will augment Paramount's existing aerospace, land and maritime security, as well as defence products to deliver to its many government customers around the world.
The acquisition will also enable Paramount to offer civilian market expertise in border surveillance, coastal patrol, environmental protection, and disaster and emergency services.
Paramount Group founder and executive chairman Ivor Ichikowitz said that the transaction would assist the continent, as well as enabling Paramount to steer research and development in high-tech field.
"This acquisition safeguards service delivery for ATE's worldwide customers and allows us to expand the scope of solutions on offer to better serve those who have stood by ATE through the change," Ichikowitz added.
"The conclusion of the business rescue is phase one in terms of saving the company.
"The company will now have to go through a restructure, the turnaround will be a challenge, but the intention is to rebuild sustainably and retain skills to ensure that we play a significant part in the long-term future of this global industry."
Headquartered in Johannesburg, Paramount Group provides defence and aerospace solutions for land, sea and air, and high-quality peacekeeping support services to governments worldwide.
ATE provides flexible and cost-effective solutions including advanced technologies including unmanned aerial vehicles, integrated systems, aerial surveillance, optronics and mission sensors for all types of military and civilian missions.
Image: Company officials at their facility. Photo: courtesy of Paramount Group.