By B.C. Kessner
The Elbit Systems of America subsidiary of Israel’s Elbit Systems [ESLT] Tuesday said it acquired all shares of McLean, Va.-based Innovative Concepts, Inc. (ICI) from Herley Industries [HRLY] for $15 million cash in what one industry source close to the deal described as and very important deal for Elbit.
“We are pleased to take this important step towards enhancing our command, control and networking solutions capabilities in the U.S. market,” Raanan Horowitz, president and CEO of Elbit Systems America. “This acquisition compliments our battlefield management systems offering with data networking capability which is a key component of these systems,” he added.
Innovative Concepts is a wireless communications technology firm specializing in design, production and support of real-time embedded systems and high-speed processing solutions for defense and homeland security applications.
Innovative Concepts will become part of Elbit Systems of America’s C4I Solutions business.
This acquisition is part of the company’s strategy to provide advanced C4I systems solutions to the United States Department of Defense and Department of Homeland Security.
Elbit has long considered the U.S. market its biggest target and most important outside Israel. Its policy is to position close to the customer and acquire companies that compliment Elbit’s technologies.
If another right opportunity emerges one could assume that the ICI purchase would not be Elbit’s final consideration in the U.S. acquisition arena, the source told Defense Daily yesterday.
Horowitz said ICI employee skills and experience would provide an extremely valuable asset to Elbit’s organization. “We are proud to welcome the employees of Innovative Concepts to the Elbit Systems of America family,” he added.