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.

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