Waiting period over for General Dynamics-Veridian deal
- By Gail Repsher Emery
- Jul 29, 2003
General Dynamics Corp.'s planned acquisition of Veridian Corp. has cleared the required waiting period, officials of Falls Church, Va., General Dynamics said
The waiting period is required under the Hart-Scott-Rodino Antitrust Improvements Act of 1976.
Neither the Department of Defense nor the Federal Trade Commission objected to General Dynamics' purchase of Arlington, Va.-based Veridian, so the two companies can close the transaction if Veridian shareholders approve the deal. The shareholders will vote Aug. 7.
The proposed acquisition was first announced June 9. Under the terms of the agreement, General Dynamics will pay approximately $1.5 billion for Veridian. The defense firm will pay $35 cash for each outstanding Veridian share and assume Veridian's $270 million debt.
Veridian employs more than 7,300 people in 38 states. The company anticipates 2003 sales of approximately $1.2 billion, and has a business backlog of $2.6 billion. Veridian's 2004 revenue will be about $1.4 billion, General Dynamics officials said. Veridian was ranked No. 22 on Washington Technology's 2003 Top 100 list.
Veridian's capabilities include network security and enterprise protection; intelligence, surveillance and reconnaissance; information systems development and integration; chemical, biological and nuclear detection; and network and enterprise management.
General Dynamics employs approximately 57,000 people worldwide and estimates 2003 revenues of $15 billion. The company was ranked No. 7 on the Top 100 list. Its expertise is in mission-critical information systems and technologies, land and amphibious combat systems, shipbuilding and marine systems and business aviation.