- Expands Comtech’s satellite earth station product portfolio and introduces Radyne’s innovative shared bandwidth satellite networking solution, known as SkyWire, to expand and diversify its addressable market
- Immediately positions Comtech as a leader in the satellite earth station traveling wave tube amplifier market and expands Comtech’s existing solid state power amplifier market product portfolio
- Diversifies Comtech’s global customer base
- Drives further innovation by taking advantage of combined engineering and sales teams that are expected to deliver new and advanced satellite earth station products to the marketplace
- Drives significant operating efficiencies by eliminating redundant functions and related expenses
- Strategically redeploys Comtech’s excess cash to enhance earnings per share
Acquiring Minds Want To Know… Comtech + Radyne
It’s going to be an all cash transaction… Comtech Telecommunications Corporation and Radyne Corporation have signed a definitive merger agreement, with the former to acquire the latter. Tallying the combined sales of both companies for the four fiscal quarters, ended January 31, 2008, would have been US$651.5 million. This is based on Comtech’s sales of US$504.3 million and Radyne’s sales of US$147.2 million. Comtech will make a first step cash tender offer at US$11.50 per share, representing a premium of about 33 percent over Radyne’s average closing price over the last 90 trading days. Once that step is completed, it will be followed by a merger at the same price. The strategic benefits of the transaction to Comtech:
