Essex to Acquire Adaptive Optics for $40M
COLUMBIA, Md., Sept. 20, 2006 -- Essex Corp., a provider of advanced signal, image, information processing, information assurance and cyber-security solutions, primarily for government intelligence and defense customers, announced today it will acquire Adaptive Optics Associates Inc. (AOA) from Metrologic Instruments Inc. of Blackwood, N.J., for $40.2 million in cash.
AOA is maker of high-performance electro-optic products and systems. The company has its headquarters in Cambridge, Mass., with other facilities in East Hartford, Conn., and Lancaster, Calif. AOA has approximately 175 employees, many of whom have high-level security clearances. Essex expects AOA to be profitable, with over $36 million in pro forma revenue for 2006, of which more than 85 percent is for US government customers.
"AOA is an opportune acquisition that will add capability and critical mass to our optical products business," said Leonard Moodispaw, CEO and president of Essex, in a statement. "Jeff Yorsz, president and general manager of AOA, and his team bring excellent skills, experience, and a strong product-focused business to Essex with demonstrated experience in developing and manufacturing complex optical products for both government and commercial customers. AOA is an excellent strategic fit as well as being a great cultural fit with Essex."
Under the terms of the agreement, Essex will purchase all of the outstanding capital stock of AOA from MTLG Investments Inc., a subsidiary of Metrologic. The acquisition is expected to close on or about Oct. 1 and is subject to customary closing conditions. Essex said it is financing the purchase through an expanded revolving credit facility with the Bank of America.
For more information, visit: www.essexcorp.com