HUDSON, N.H., 11 June 2012. Micronetics Inc. (NASDAQ:NOIZ) officials have signed a definitive merger agreement with Mercury Computer Systems Inc. (NASDAQ:MRCY). The transaction, valued at roughly $75.4 million, includes Mercury’s assumption of Micronetics’ net debt. Micronetics manufactures microwave and radio-frequency (RF) components and integrated subassemblies used in a variety of defense, aerospace, and commercial applications.
Micronetics also manufactures and designs test equipment and components that test the strength, durability, and integrity of communication signals in communication equipment. Micronetics’ diverse customer base includes BAE Systems, Boeing, Cobham, EADS, General Dynamics, ITT Exelis, L-3 Communications, Lockheed Martin, Northrop Grumman, Raytheon, Rockwell, Tecom Industries, Teradyne, and Thales.
"Around this time in 2001, Micronetics embarked on a strategy to increase the value it brought to its shareholders, customers, and employees,” explains David Robbins, CEO of Micronetics. "Since then, we have grown from fewer than 50 people to over 200 employees, and increased revenue from a few million dollars per year to almost $46 million in our most recent fiscal year that ended on March 31, 2012. We have successfully completed 5 acquisitions, and grown to become an important supplier of microwave component and subsystems solutions to both the defense and commercial marketplace."
The Boards of Directors of Micronetics and Mercury have approved the transaction; Micronetics’ Board of Directors has recommended that Micronetics shareholders vote in favor of the transaction.
The transaction is currently expected to close within Micronetics’ fiscal 2013 second quarter ending September 30, 2012.
Micronetics’ exclusive financial advisor on the proposed transaction was Cypress Associates LLC, and its legal counsel was Latham & Watkins LLP.
