Ground control system manufacturer Integral Systems has allegedly hired a financial adviser for a potential sale, according to the Financial Times. Integral declined to comment on the speculation.
The newspaper claims that Integral has been weighing up…
Ground control system manufacturer Integral Systems has allegedly hired a financial adviser for a potential sale, according to the Financial Times. Integral declined to comment on the speculation.
The newspaper claims that Integral has been weighing up its strategic options ever since the appointment of two new directors, Brian Kahn and Melvin Keating, in October from Vintage Partners, its largest shareholder with around 10%.
Back in February 2009, Kahn and Keating had been appointed to the board of White Electronics, a semiconductor products manufacturer for the wired and wireless communications industry. About a year later, it was announced that White Electronic would be sold to Microsemi, another semiconductor company.
According to its website, Vintage Capital specialises in corporate spinoffs, management buyouts and build-up transactions. It says that it seeks to deploy up to US$50m per transaction into lower-middle market companies with up to US$40m in EBITDA and enterprise valuations up to US$200m.
Speculation surrounding potential bidders centres on Comtech Telecommunications, the US-based communications products developer which recently ended its merger talks with CPI International. Other prospective buyers mooted were broadband satellite specialist ViaSat and French defence and electronics company Thales.
Integral has itself been acquisitive over recent years. In mid-2010, Integral Systems acquired secure satcom solutions firm CVG and its subsidiary Avtec Systems for US$34.67m. Under the terms of that transaction, Integral formed a subsidiary entitled Alpha Merger Corporation, which then merged with CVG. The privately-held satcom specialist was then integrated into Integral’s Products Group as Integral Systems SATCOM Solutions.
