OSI to Acquire Defense Contracting Company

Tuesday, July 12, 2005
Offshore Systems International Ltd. announced it has signed a non-binding letter of intent to acquire a United States defense contracting company. The acquisition is expected to be accretive, and to approximately double OSI's revenue and employee base. The target company, with multiple offices in the United States, is a supplier of technology and services to the U.S. Department of Defense and key defense prime contractors. "We said a critical milestone for 2005 was to grow OSI through acquisitions," said President and CEO, John Jacobson. "We also said the U.S. market was a key target. This new company is complementary to our Applications business. We expect it will greatly expand our revenue opportunities, be accretive to earnings, and give us access to one of the largest security and defense markets in the world." Jacobson added OSI would also benefit because the new company is a growing, profitable, services-based business with historically lower revenue variability than OSI's navigation business. This newest announcement closely follows the company's first U.S. acquisition in April 2005 of Mapcon Mapping Consultants in Salt Lake City, Utah. OSI completed a financing of CDN$19.5 million, also in April, to support the company's rapid growth. "We believe the market opportunity for our products is considerable," said Jacobson, "and we are becoming a larger company to capitalize on this significant potential. Our goal is to become the 'go to' company in the defense and intelligence communities for geographic technology." With the letter of intent in place, OSI said it plans to proceed to due diligence and the development of definitive purchase and sale agreements immediately. The acquisition is expected to close by September 30, 2005, subject to the satisfactory conclusion of due diligence, approval by the board of directors of both companies, the shareholders of the target company, and regulatory approval.
Maritime Reporter August 2014 Digital Edition
FREE Maritime Reporter Subscription
Latest Maritime News    rss feeds

Contracts

Aage Hempel to Service and Distribution Simrad Products Aage Hempel Netherlands b.v. signed an agreement with Navico Europe b.v. for service and distribution

Two More Damen Twin Axe Catamarans for SeaZip

Damen Shipyards and SeaZip Offshore Service signed another contract for two Damen Fast Crew Suppliers (FCS) 2610 at Wind Energy in Hamburg. The two new vessels,

Boeing, Liquid Robotics Enter Maritime Surveillance Partnership

Boeing and Liquid Robotics signed a global, multiyear teaming agreement for collaboration on product development, maritime services and operational deployments.

Maritime Security

Ingalls Authenticates Keel on Aegis Destroyer

Huntington Ingalls Industries' (HII) Ingalls Shipbuilding division today authenticated the keel for the company's 30th Aegis guided missile destroyer, Ralph Johnson (DDG 114).

Boeing, Liquid Robotics Enter Maritime Surveillance Partnership

Boeing and Liquid Robotics signed a global, multiyear teaming agreement for collaboration on product development, maritime services and operational deployments.

Aberdeen Harbour Installs Siklu Security Network

Aberdeen Harbour has extended its security solutions coverage using high-capacity backhaul from Siklu, the market leader in millimeter wave backhaul informs the Israel-based tech firm.

 
 
Maritime Careers / Shipboard Positions Maritime Security Maritime Standards Naval Architecture Navigation Pod Propulsion Salvage Ship Electronics Shipbuilding / Vessel Construction Sonar
rss | archive | history | articles | privacy | terms and conditions | contributors | top maritime news | about us | copyright | maritime magazines
maritime security news | shipbuilding news | maritime industry | shipping news | maritime reporting | workboats news | ship design | maritime business

Time taken: 0.2655 sec (4 req/sec)