Qinetiq Group recently signed a definitive merger agreement to acquire Analex Corporation, a move that continues the company’s strategy to grow its North American operations.
Qinetiq Group recently signed a definitive merger agreement to acquire Analex Corporation (Analex), a move that continues the company’s strategy to grow its North American operations.
Under the terms of the agreement, which is conditional upon regulatory clearance in the United States, Qinetiq will offer to acquire all of the outstanding shares of Analex for $3.70 per share, or an aggregate equity price of approximately $173m. The consideration will be paid in cash and is expected to complete in March 2007.
Analex is a US public listed company. Holders of approximately 58.8 per cent of the fully diluted equity of Analex have agreed to tender their shares in the offer and to vote in favour of the definitive merger agreement and against any other transactions, subject to the provisions of the agreement.
Headquartered in Fairfax, Virginia, with 11 locations around the US, Analex is a provider of high technology professional services and solutions, principally to the US Government and its agencies. Analex specialises in providing innovative information technology, aerospace engineering and security and intelligence support services for defence, intelligence and space programmes.
According to a statement, Analex provides Qinetiq with new customers and contract opportunities as well as broadening the range of service offerings to the existing customer base of the Group. Principal customers include the US Missile Defense Agency (MDA), US Army, US Navy, DARPA, and NASA. Analex is also well positioned with intelligence customers some of which it has worked with for more than 20 years. ??
Commenting on the agreement, Qinetiq’s chief executive officer Graham Love said: ‘Having recently secured a number of new contracts, Analex offers growth and margin prospects consistent with expectations for Qinetiq’s existing North American business and we expect the acquisition to be immediately earnings enhancing for Qinetiq.’