General Dynamics’ business unit, General Dynamics Advanced Information Systems, announced the acquisition of Connecticut-based Axsys to strengthen its position in the ISR market. Axsys is engaged in the design and development of surveillance cameras, imaging systems and related motion control technologies.
General Dynamics expects that the acquisition would add to its earnings beginning 2010.
Lou Von Thaer, president of General Dynamics Advanced Information Systems, said: Axsys Technologies delivers innovative, high-value products in a market segment that is strategic for General Dynamics Advanced Information Systems.
“Adding Axsys Technologies’ capabilities to our existing intelligence, surveillance and reconnaissance expertise will enable us to further strengthen our portfolio of offerings and discriminators in the high-growth tactical ISR market.”
General Dynamics will acquire outstanding common stock of Axsys Technologies for $54 per share. The transaction value is expected to be $643m. The per share offer price represents a premium of 8% over Axsys’ June 3, 2009 closing price of $50 per share.
The boards of directors of Axsys and General Dynamics have approved the proposed acquisition. The transaction is subject to normal regulatory approvals as well as approval by Axsys’ shareholders and is expected to complete during the third quarter of the year.
