Cobham buys Sparta for US$416m
Cobham’s operations focus on the development, delivery and support of aerospace and defence systems for land, air and sea.
International aerospace and defence group Cobham has announced it has acquired Sparta for US$416 million (£211 million).
The deal is Dorset-headquartered Cobham’s biggest acquisition to date and its second in the US in just a month.
Sparta is a systems engineering and technical assistance company, employing around 1,200 people in locations including Washington and Alabama. It provides the US intelligence and missile defence services with a range of services including planning, analysis and engineering.
Allan Cook, Cobham’s Chief Executive, is delighted the companies have reached the acquisition agreement. He said: “The strong incumbent management will provide Cobham with an exciting platform for growth in the Systems Engineering and Technical Assistance segment, which is complementary to our existing US intelligence and defence capabilities.
“This is a major step forward in the implementation of Cobham’s technology strategy and the creation of a significant Tier two business supplying the US Department of Defence and intelligence markets.”
Sparta’s gross assets were valued at $122m (£62m) as of 30 September 2007. Cobham expects the acquisition to push earnings higher.
The deal will complete in the second quarter of 2008, “subject to regulatory and Sparta shareholder approvals”.
In a separate deal, Cobham purchased S-TEC Corporation from Meggitt for US$38m (£19m) at the beginning of January. S-TEC designs, certifies and manufactures autopilots for general aviation aircraft and is based at Mineral Wells Airport in Texas.
By Natasha Piscitelli
