US-based aerospace components and systems manufacturer Moog has acquired Broad Reach Engineering Company for up to US$48m.
Moog will pay US$37m in cash, US$6m through a note and US$5m in a potential earn out based on Broad Reach achieving certain…
US-based aerospace components and systems manufacturer Moog has acquired Broad Reach Engineering Company for up to US$48m.
Moog will pay US$37m in cash, US$6m through a note and US$5m in a potential earn out based on Broad Reach achieving certain financial targets.
Founded in 1997, Broad Reach is a designer and manufacturer of spaceflight electronics and software for aerospace, scientific, commercial and military missions. The company also provides ground testing, launch and on-orbit operations. Trailing twelve month revenues were approximately US$27m.
Commenting on the acquisition, Jay Hennig, president of Moog’s space and defense group, said: “The acquisition of Broad Reach brings several very strong products to our space portfolio, as well as an experienced team of individuals.
“Their engineering team brings extensive spaceflight heritage, industry expertise and entrepreneurial spirit to Moog. Our ability to provide complete solutions to our customers is strengthened by Broad Reach’s avionics, software and mission design heritage.”
Moog stated that the Broad Reach acquisition will add an estimated US$32m to the company’s fiscal year 2013 sales.
In 2012, the two companies alongside Millennium Engineering and Integration founded PLANETiQ, a start-up that intends to launch and operate a constellation of micro-satellites that will collect real-time environmental data.
The acquisition comes six months after Moog snapped up the in-space propulsion business of speciality chemicals developer American Pacific Corporation for US$46m in cash.
Moog was not available for comment at the time of going to press.
