Home / M&A Activity / CACI Allots $975M for LGS, Mastodon Design Acquisitions; Ken Asbury Quoted

CACI Allots $975M for LGS, Mastodon Design Acquisitions; Ken Asbury Quoted

Ken Asbury

CACI International (NYSE: CACI) has agreed to acquire Herndon, Va.-based government technology contractor LGS Innovations and purchased Rochester, N.Y.-based rugged equipment manufacturer through a pair of deals worth approximately $975M combined.

Ken Asbury, president and CEO of CACI and a 2019 Wash100 winner, said in a statement released Wednesday combining the three companies will offer advantages for defense and intelligence customers.

Mastodon Design offers signals intelligence, electronic warfare and cyber technology platforms that employ a small form factor design.

CACI will pay $750M to buy LGS from Madison Dearborn Partners and CoVant Management in a push to grow footprint in the command, control, communications, computers, intelligence, surveillance, reconnaissance and cyber market areas.

The Arlington, Va.-based company estimates its revenue will increase by $480M over the next 12 months as a result of the two acquisitions and expects both deals to be accretive to the company’s net income and earnings per share.

Gibson, Dunn & Crutcher and J.P. Morgan Securities respectively served as the legal counsel and financial adviser to CACI in the LGS transaction.

Check Also

Harris Receives Second Army Manpack Radio Order Under $12.7B IDIQ; Dana Mehnert Quoted

Harris (NYSE: HRS) has been awarded a second low-rate initial production order to supply the U.S. Army with tactical radio systems as part of a potential 10-year, $12.7B contract awarded in 2016. The new order falls under the Handheld, Manpack and Small Form-Fit indefinite-delivery/indefinite-quantity contract and precedes an operational test the service branch will conduct, Harris said Thursday.

Shawn Black Promoted to Cobham Advanced Electronic Solutions Sector President

Shawn Black, chief operating officer of Cobham’s U.S.-based advanced electronic solutions sector, has been promoted to serve as president of the same business beginning on July 1.