Defense electronics designer and manufacturer Mercury Systems [MRCY] on Nov. 4 completed its acquisition of Switzerland-based Creative Electronic Systems (CES) in a deal that expands its capabilities as a commercial provider of processing subsystems and expands its addressable market in domestically and internationally.
Massachusetts-based Mercury said the acquisition is valued at $38 million and was funded with cash on hand. CES had $23 million in sales in the year-period ended Sept. 30.
CES provides embedded solutions for military and aerospace mission-critical computing applications. The Geneva-based company specializes in the design, development and manufacture of safety-certifiable product and subsystems solutions including primary flight control units, flight test computers, mission computers, command and control processors, graphics and video processing, and avionics-certified Ethernet and input-output.
Mercury said the acquisition positions the company as a leading commercial provider of secure and safety-critical processing subsystems for aerospace and defense applications.
“We are very pleased to welcome CES to the Mercury family,” Mark Aslett, Mercury’s president and CEO, said in a statement. “The addition of CES adds important and complementary capabilities in mission computing, safety-critical avionics and platform management that are in demand from our customers. These new capabilities will also substantially expand Mercury’s addressable market into commercial aerospace, defense platform management, C4I and mission computing – markets that are aligned to Mercury’s existing market focus.”
Mercury also said the acquisition facilitates organic and acquisition-related growth.