L-3 Communications Acquires Electronic Warfare Provider in Australia

L-3 Communications has announced that they have entered into a contract to acquire Micreo Limited, a specialized Electronic Warfare subsystems provider in Australia. The acquisition is expected to be completed in September 2016 following the satisfaction of standard closing conditions. Following the acquisition, Micreo Limited will be integrated into the Electronic Systems Segment and will be renamed L-3 Micreo. Micreo is projected to generate AUD $35 million (USD $27 million) in sales for the year ending December 31, 2017 and to be accretive to L-3’s earnings.

Based in Brisbane, Australia, Micreo specializes in solutions that utilize high-performance microwave, millimeter wave and photonic technology that complement L-3’s wide range of sensors and will strengthen their development of future products in the higher EW RF bandwidth. The company’s unique, patented products are market-ready for ISR and EW applications, and it currently supports a variety of airborne, land and security programs in Australia. The business also has counter-IED capabilities that will specifically enhance L-3’s existing range of man-portable and vehicle electronic counter measures (ECM) equipment. Micreo has approximately 70 employees.

As part of L-3, Micreo will expand theri technical expertise and offerings, providing immediate synergies with L-3 products as well as adjacent growth opportunities across our existing business. This addition will help drive L-3’s international growth, while providing cross-selling opportunities in key markets. In addition to our ongoing SATCOM, Maritime, Warrior Systems, Aviation and aircraft modification programs, Micreo will add new in-country resources for our growing customer base in Australia and the Asia-Pacific region.

Headquartered in New York City, L-3 employs approximately 38,000 people worldwide and is a leading provider of a broad range of communication and electronic systems and products used on military and commercial platforms. They are also a prime contractor in aerospace systems. The company reported sales of $10.5 billion in 2015.