Astronics Corp. [ATRO] yesterday said it has acquired aircraft antenna systems supplier AeroSat Corp. for $12 million in cash, adding new products to its aerospace and defense portfolio.
The deal includes the potential for earnout provisions, which Astronics believes will be between $5 million and $20 million and are based on future sales.
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| AeroSat HR6400 antenna, control unit and transceiver. Photo: AeroSat |
AeroSat designs and manufactures fuselage and tail-mounted antenna systems for commercial transport, business jet, and military aircraft customers around the world. The company’s systems are typically used to enable satellite and ground-based communication to aircraft.
Astronics’ products include in-seat power systems that power passengers’ electronic devices.
“Now, with AeroSat, we also provide antenna systems that enable broadband connectivity,” Peter Gundermann, president and CEO of Astronics, said in a statement. “We believe AeroSat’s capabilities fit in well with our vision for the future.”
AeroSat, which is based in New Hampshire, has 40 employees and is expected to have sales this year between $12 million and $14 million. Astronics believes AeroSat’s sales in 2014 will range between $20 million and $40 million.
Astronics expects to have sales between $325 million and $340 million this year.
AeroSat’s financial adviser on the deal was Raymond James. AeroSat’s president will remain with the company.