Lockheed Martin [LMT] yesterday announced it has entered into a definitive agreement to acquire Atlanta, Ga.-based Eagle Group International LLC. Eagle Group provides logistics, information technology, training and health care services to the Defense Department.
As part of the agreement, the parties have agreed to exclude from the transaction all obligations associated with Eagle Group’s U.S. Department of Labor Potomac Job Corps contract. Other terms of the transaction were not disclosed.
The transaction is subject to government approvals, including a review under the Hart-Scott-Rodino Antitrust Improvements Act and satisfaction of certain closing conditions. It is expected that the transaction will close in the second quarter of 2008.
The move is expected to strengthen Lockheed Martin’s military logistics and health care service offerings.
“The acquisition of Eagle Group extends our logistics and business process outsourcing capabilities, strengthens our relationships with several key Army customers, and enhances our support for military force modernization and reset imperatives,” Bob Stevens, Lockheed Martin’s chairman, president and CEO, said in a statement. “We’re confident that this acquisition will create value for our customers and our shareholders.”
A.J. Johnson, Eagle’s CEO and president said: “The combination will allow our customers to have access to an expanded range of capabilities and will provide growth opportunities for our exceptional and dedicated employees. We look forward to joining Lockheed Martin and continuing to build upon our success.”
Founded in 1995, Eagle Group employs more than 1,350 people. The company’s proven capabilities in military readiness and integrated logistics, health care program management and outsourcing, information technology, and training services have enabled it to develop a reputation for outstanding support of its customers’ critical missions. Eagle Group’s revenue is generated mainly from work done for the Army.