World Surveillance Group Inc. [WSGI], a developer of aerostat systems, yesterday said it has acquired another aerostat manufacturer, Lighter Than Air Systems Corp. (LTAS), giving it additional products and technical capability.
WSGI said it is paying $250,000 in cash and 25 million shares of its common stock for LTAS, which amounts to an equity value of $750,000. The deal includes an earn out provision based on sales.
“We are confident the acquisition of LTAS will improve our position as a leader in the tactical aerostat market and allow us to further enhance our Blimp in a Box (BiB) aerostat system,” Glenn Estrella, president and CEO of WSGI, said in a statement. “The acquisition is another significant step in the company’s overall strategic plan, and for the first time, WSGI will have in-house technical expertise and operational capabilities.”
In January WSGI’s subsidiary Global Telesat Corp. received a $605,000 contract from the Army to provide a set of BiB aerostat systems for use at a base for semi-persistent intelligence, surveillance and reconnaissance at the platoon level.
LTAS, which is based in Florida, makes aerostats, mast systems, the TDAP aerial drone, and surveillance trailers.