Astronics to Acquire EADS North America Test and Services
January 21, 2014. Astronics Corp., a provider of advanced technologies for the global aerospace and defense industries, announced today that it has entered into a definitive agreement to acquire substantially all of the assets and liabilities of EADS North America's Test and Services Division (EADS T&S) for approximately $53 million in cash plus a net working capital adjustment. The agreement is expected to close in February, subject to normal closing requirements including Hart-Scott-Rodino approval. Upon closing, EADS T&S will be reported in Astronics' Test Systems segment.
EADS T&S, located in Irvine, CA, is a provider of highly engineered automatic test systems (ATS), subsystems and instruments for the semiconductor, consumer electronics, commercial aerospace, and defense industries. EADS T&S provides fully customized testing systems and support services for these markets. It also designs and manufactures test equipment under the well-respected test instrument brands known as Racal and Talon.
EADS T&S had 2013 sales of approximately $70 million. Sales for 2014 for the business are expected to be approximately $100 million.
Peter J. Gundermann, CEO of Astronics, commented, “EADS T&S has developed a strong presence in a diversified set of industries, which provides a broad range of market opportunities for growth. We also believe that the business possesses a skill set which is highly complementary to our own, and together we will field a stronger team than either entity would do on their own.”
EADS T&S was founded in 1950 as Racal Electronic Group and currently has about 210 employees.
Houlihan Lokey acted as the exclusive financial advisor to EADS North America Inc.