Goodrich [GR] said this week that it has agreed to acquire Atlantic Inertial Systems (AIS) for $375 million, adding to its capabilities in the area of guidance, control and navigation systems.
AIS is a portfolio company of the private equity firm J.F. Lehman & Co. The company’s primary products are inertial sensors, inertial measurement units, integrated IMUs and GPS systems, stability systems, and terrain avoidance systems for missiles, military aircraft and land systems.
“This acquisition provides the company with another high growth platform in the defense market that builds on existing Goodrich capabilities,” Marshall Larsen, chairman, president and CEO of Goodrich, said in a statement. “AIS’ portfolio of inertial sensors is an excellent complement to Goodrich’s guidance, control and navigation systems. Combining our engineering strengths and technology will enable us to further support U.S. and allied forces across the full spectrum of guidance and control systems.”
Goodrich said the purchase price reflects a multiple of less than nine times 2009 estimated adjusted earnings before interest, taxes, depreciation and amortization, and is expected to be slightly accretive to earnings in 2010. AIS sales in 2009 are estimated at $180 million and are forecast “to grow significantly over the next several years,” Goodrich said.
The transaction is expected to close by year end. AIS has 800 employees spread across facilities in the United States and Britain.