L-3 Communications announced today that it has entered into an agreement to acquire Insight Technology Incorporated (Insight). Insight develops and manufactures night vision and laser aiming and illumination devices. Headquartered in Londonderry, New Hampshire, Insight employs approximately 1,100 people. The purchase price was not disclosed and will be funded with cash on hand. However, according to Business Wire, “Insight is expected to generate approximately $290 million of sales for the twelve months ending December 31, 2010. Before giving effect to the present value of tax related benefits of the transaction and expected synergies, the purchase price represents a multiple of approximately nine times estimated 2010 earnings before interest, taxes, depreciation and amortization (EBITDA).”
It is anticipated that Ken Solinsky, Insight’s founder and president, will become president of L-3’s newly created Warrior Systems Sector. He will report to James W. Dunn, senior vice president and president of L-3’s Sensors and Simulation Group. The Warrior Systems Sector will include Insight as well as L-3’s existing electro-optical/infrared (EO/IR) businesses currently addressing the warrior systems market and will be reported in L-3’s Electronic Systems segment. As you may remember, in 2007 L-3 purchased Eotech, producers of holograraphic gunsights. Based on this information it is a safe bet that the Eotech line will be moved into the Warrior Systems Sector. It will be interesting to see how this affects Insight’s line of Red Dot Sights.
www.L-3com.com
www.insightlights.com
Tags: Insight Technologies, L3