CHELMSFORD, Mass., Dec. 27 (UPI) -- Mercury Computer Systems Inc. is acquiring KOR Electronics Inc. of California and a KOR subsidiary Paragon Dynamics Inc.
The acquisition will expand Mercury's intelligence, surveillance and reconnaissance subsystems business for defense contractors.
A definitive agreement for the $70 million purchase, expected to close late next year, was signed late last week.
"We are very pleased to welcome KOR and PDI to the Mercury family," said Mark Aslett, president and chief executive officer of Mercury Computer Systems. "KOR's defense electronics business meaningfully extends the capabilities of our ACS business segment along the sensor processing chain, particularly within the critical electronic warfare market."
KOR is a developer of digital radio frequency memory units for electronic warfare use. It also designs and develops radar simulation and test systems. Its Paragon Dynamics subsidiary provides analysis and customized multi-INT data fusion and exploitation solutions.
Mercury said it will finance the purchase, which needs approval by KOR shareholders, with cash on hand.
"Over the past year, we've been building out a pipeline of promising potential deals, taking a very disciplined and thoughtful approach in the process," Aslett said. "We are particularly impressed with KOR and PDI in terms of their technical prowess, talented employees, and unique alignment with Mercury's strategy and innovative culture."
