Satcoms RF antenna developer CPI International has acquired M C L, a manufacturer of power amplifier products and systems for the satellite communications market.
Financial details were not disclosed, though CPI indicated that it would fund the…
Satcoms RF antenna developer CPI International has acquired M C L, a manufacturer of power amplifier products and systems for the satellite communications market.
Financial details were not disclosed, though CPI indicated that it would fund the acquisition through cash on hand. As of 29 March 2013, CPI had cash and cash equivalents totalling US$47m.
M C L, which was previously a subsidiary of rival RF satcom product developer MITEQ, will now be integrated into CPI’s Satcom Division.
Commenting on the acquisition, Joe Caldarelli, chief executive officer of CPI said: “For more than 40 years, M C L has manufactured high-power satcom amplifier products, establishing itself as a global brand in the communications industry by providing satellite uplink products and service to customers around the world.
“With this acquisition, CPI will continue to provide M C L’s customers with the excellent service and support that they have come to expect. In addition, M C L’s customers will have full access to, and benefit from, the global reach of CPI’s well-established sales and service network.”
The transaction is in line with similar bolt-on acquisitions that CPI has made since it was acquired by private equity firm Veritas Capital for approximately US$525m in December 2010.
In May 2012, the company snapped up its Australian peer Codan Satcom from Codan Limited for approximately US$9m in cash. As part of that deal, CPI also took control of US-based Locus Microwave operations, a manufacturer of microwave radio products for satellite communications.
Prior to Veritas’ leveraged buyout, CPI had been a target of a potential US$472.3m merger with rival communications products developer Comtech.
