Upland Software Inc. announced that it has acquired Advanced Processing & Imaging Inc. (API), a provider of content management platform for government and schools across North America. API will be combined with Upland’s FileBound workflow automation solution. The deal is expected to be accretive on an adjusted EBITDA basis. Deal terms were not disclosed.
Sparton Corporation announced that it has engaged Wells Fargo Securities LLC to find it a buyer. This development comes after the company’s CEO and SVP for Corporate Development abruptly left the company in February. Sparton, a provider of electromechanical devices and contract manufacturing services to both industry and the military, was itself a serial acquirer during the last few years (find their deals in our M&A database). Unfortunately for the company, some of the challenges brought on by the acquisitions has led it to being put on the auction block.
API Technologies Corp. announced the completion of API by private equity firm J.F. Lehman. The purchase price was $2.00 per share or an enterprise value of approximately $305 million. API is a provider of high performance RF, microwave, millimeterwave, power, and security solutions. Check out our free M&A database to get valuation multiples and other details on this transaction.
Smiths Group plc announced that it has agreed to acquire Morpho Detection from Safran S.A. for an enterprise value of $710 million. The transaction is expected to close in early 2017.
Based in California, Morpho Detection is a manufacturer and supplier of Computed Tomography Explosive Detection Systems for checked baggage and Explosive Trace Detection equipment to airports, government agencies and critical infrastructure customers. The company’s products are certified by TSA, Canadian Air Transport Security Authority, the European Civil Aviation Conference, and the Civil Aviation Administration of China. Morpho Detection had 2015 revenue of $310 million and EBITDA margins of 22 percent.
It will be interesting to see if this deal spurs additional consolidation in the detection market. Stand-alone competitors including AS&E and OSI Systems have seen their share prices take a big hit over the past 12 months and could start looking attractive as acquisition targets. Leidos also has a significant detection business. One wonders whether they would be a buyer or seller in today’s market.
PrecisionHawk Inc. announced that it has closed an $18 million investment round from Verizon Ventures, NTT Docomo Ventures, Yamaha Motor, Intel Capital, Millennium Technology Value Partners and Indiana University’s Innovate Indiana Fund in an oversubscribed round. This latest round brings PrecisionHawk’s total funding to more than $30 million.
PrecisionHawk is a provider of drones, aerial data and safety platforms for drones. The investment will be used to accelerate the expansion of the company’s terrestrial data analysis platform called DataMapper, and its low-altitude traffic and airspace safety platform called LATAS.
EnerSys announced that it has acquired certain assets of Enser Corporation. Based in Pinellas Park, Florida, Enser is a manufacturer of thermal batteries used to power electronics, guidance and other electrical loads in weapon systems. Deal terms were not disclosed.
Venture-backed OpenGov announced that it has acquired Ontodia, a leading provider of Open Data and performance management solutions using CKAN. What is CKAN? We didn't know either, but according to the press release its the premier open-source data-portal for governments and is behind sites like Data.gov and Data.gov.uk. The acquisition brings OpenGov new capabilities including managed open data using CKAN, publicly-available CivicDashboards, and customizable performance dashboards. Deal terms were not disclosed.
Teledyne Technologies Inc. announced that has agreed to acquire Quantum Data Inc. in a deal that is expected to close by the end of the month. Quantum Data provides video protocol analysis test tools to customers in the broadcast, electronics and aerospace and defense industries. Deal terms were not disclosed.
Jacobs Engineering Group Strengthens Cybersecurity Capabilities with Acquisition of The Van Dyke Technology Group
Jacobs Engineering Group Inc. announced that it has acquired The Van Dyke Technology Group Inc. (Van Dyke) to strengthen the company’s cybersecurity offerings to government clients. Based in Maryland and with approximately 180 employees, Van Dyke provides cybersecurity services and solutions to protect sensitive information within classified networks, with a focus on supporting the US Intelligence Community. Deal terms were not disclosed.
Behrman Capital announced that its portfolio company Data Device Corporation (DDC) has agreed to acquire the microelectronics business of Maxwell Technologies Inc. for $21 million. The business develops and manufactures space-qualified microelectronic solutions for satellites and spacecraft. In 2015, Maxwell generated $11.1 million of revenue from its microelectronic products. The deal is expected to closed at the end of the month.
We provide you with the latest news on acquisitions in the Defense and Government markets. Make sure to subscribe to our weekly deal updates: