Cobham secures acquisition and contract

Aerospace and defence company Cobham has made an American investment with the purchase of Trivec-Avant for $126 million (£80 million).


Aerospace and defence company Cobham has made an American investment with the purchase of Trivec-Avant for $126 million (£80 million).

Aerospace and defence company Cobham has made an American investment with the purchase of Trivec-Avant in deal worth $126 million (£80 million).

California-headquartered Trivec-Avant operates in the satellite communication (SATCOM) sector and supplies antennas, primarily for transport and logistics providers. According to a statement, the business specialises in high frequency SATCOM technologies and mobile communications.

Chief executive officer of Cobham, Andy Stevens, comments: ‘The acquisition of Trivec-Avant Corporation brings us a range of SATCOM antenna products and communication technologies that are highly complementary to our existing business, together with opportunities to win further work from a long established customer base, as well as from our multiple routes to market.’

Dorset-headquartered Cobham plans to use the acquisition to expand into its chosen target markets and increase investment in ‘highly differentiated’ technology.

Under the terms of the deal, $18 million is payable, in addition to the initial $126 million consideration on a debt and cash free basis, between 2013 and 2014 dependent on performance.

For the year ending 31 December 2010, Trivec-Avant reported an operating profit of $22.4 million and had assets, excluding debt and cash, of $11.7 million.

Cobham has also announced the securing of a $60 million contract from Brazil-based business Emraer to provide aerial refuelling systems for the Brazilian KC-390 aircraft.

Iain Gibson, vice president of Cobham Mission Equipment, says: ‘This is an important and significant programme with a new customer and provides a platform for Cobham to further grow its business in Brazil.’

Cobham has 11,000 staff across three divisions and has annual revenue of $3 billion.

Todd Cardy

Todd Cardy

Todd was Editor of GrowthBusiness.co.uk between 2010 and 2011 as well as being responsible for publishing our digital and printed magazines focusing on private equity and venture capital. Connect with...

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