Curtiss-Wright Signs $400M Deal for Military Comms Tech Supplier PacStar; David Adams Quoted

Curtiss-Wright Signs $400M Deal for Military Comms Tech Supplier PacStar; David Adams Quoted
David Adams Chairman and CEO Curtiss-Wright

Curtiss-Wright has agreed to acquire Pacific Star Communications for $400 million in cash to grow tactical communications technology offerings for the U.S. military sector, Curtiss-Wright announced Thursday. PacStar will operate within Curtiss-Wright's defense segment upon closing of the deal and is projected to generate sales in excess of $120 million this year.

"The acquisition of PacStar establishes Curtiss-Wright as a critical supplier of advanced tactical and enterprise network communications solutions supporting a broad spectrum of high-priority U.S. military force modernization programs,” said David Adams, chairman and CEO of Curtiss-Wright Corporation.

PacStar has provided tactical communications solutions for battlefield network management, including commercial off-the-shelf (COTS)-based rugged, small form factor communications systems, and its proprietary IQ-Core Software integrated network communications management software.

“The combination of Curtiss-Wright’s mission-critical mobile and secure COTS-based processing, data management and communications technologies with PacStar’s highly complementary hardware and software solutions will enable us to deliver best-in-class platform network integration and tactical data link network management to the warfighter,” Adams added. 

PacStar’s solutions are utilized in mission-critical applications, combining tactical networking equipment and software to enable enhanced battlefield situational awareness down to the individual warfighter. Their patented software and hardware technologies are core components of secure command, control and communications systems, particularly in remote or infrastructure-starved areas.

“PacStar… is well-positioned to benefit from the military’s continued investment in robust, secure and integrated battlefield network management and is expected to yield significant opportunities for revenue growth. Further, this acquisition supports Curtiss-Wright’s financial objectives for long-term profitable growth and strong free cash flow generation within our disciplined and balanced capital allocation strategy,” Adams concluded. 

PacStar is expected to be accretive to Curtiss-Wright's adjusted diluted earnings per share in its first full year of ownership, excluding first year purchase accounting costs, and produce a strong free cash flow conversion rate well in excess of 100 percent. The acquisition is expected to close in the fourth quarter of 2020, subject to regulatory approval and other closing conditions.

You may also be interested in...

Cristal Rice VP-Readiness

PAE Names Cristal Rice as VP of Readiness, Sustainment; John Heller Quoted

PAE has appointed Cristal Rice as the vice president of its Readiness & Sustainment group. Rice is an aerospace industry executive with that has deep experience in team leadership and business development. “Cristal has a demonstrated track record for leading high-performing teams and standing up new business development organizations,” said PAE president and CEO, and 2020 Wash100 Award recipient, John Heller

Josh Schoeller CEO LexisNexis Health Care

LexisNexis Risk Solutions Names New Executives to Health Care Business; Josh Schoeller Quoted

LexisNexis Risk Solutions has appointed new executives to its Health Care Business leadership team. Dave Corbett will serve as head of Sales and Client Engagement and Jeff Diamond has been promoted to senior vice president of Commercial Operations. “[Corbett] brings tremendous experience in nurturing client relationships and leading high-performing sales teams that will help us deliver more value for our clients,” said Josh Schoeller, CEO of LexisNexis Risk Solutions' health care business.

Don Brown GM of Government Services Telesat

Don Brown: Telesat’s US Subsidiary to Help Lockheed, SDA Test Commercial-Gov’t Space Network Interoperability

A Telesat subsidiary will participate in a Lockheed Martin-led team that won a $187.5M contract from the Space Development Agency to provide 10 space vehicles with communication links to explore interoperability between commercial and government satellites.