Mercury Systems agrees to acquire Themis ComputerNews
December 21, 2017
ANDOVER, Mass. Mercury Systems -- developer and builder of processing subsystems used in intelligence, surveillance, and reconnaissance (ISR); radar; electronic warfare (EW); storage; and guidance defense applications -- has agreed to acquire Themis Computer, based in Fremont, California. Themis designs, manufactures, and integrates commercial size/weight/power-optimized rugged servers, computers, and storage systems for U.S. and international defense programs.
According to the terms of the agreement, Mercury will acquire Themis for an all-cash purchase price of $180 million, subject to net working capital and net debt adjustments. The deal is also subject to customary closing conditions, including approval in accordance with the Hart-Scott-Rodino Antitrust Improvements Act of 1976.
“The acquisition of Themis is consistent with our strategy and will expand our position in the growing command, control, communications, computers, and intelligence (C4I) market,” said Mark Aslett, Mercury’s president and chief executive officer. “We view Themis as a platform for accelerating our growth organically and through future acquisitions. With a large installed base and designed in as a sole-source provider of rugged, rackmounted servers for some of the largest Navy and Army server programs in the U.S. Department of Defense, Themis complements Mercury’s presence in those areas. In addition to accelerating our efforts to penetrate the C4I market we believe we can offer additional capabilities, most notably our industry-leading security IP portfolio, to Themis’ customers to meet their unique requirements and growing demand for secure and trusted computing.”
As of the announcement, the transaction is expected to close during Mercury's fiscal 2018 third quarter, which ends March 31, 2018.