Leonardo DRS grows laser portfolio as $150M Daylight Solutions buy closes
- By Ross Wilkers
- Jun 27, 2017
U.S. defense contractor Leonardo DRS has closed its estimated $150 million acquisition of laser technology maker Daylight Solutions to add new electro-optical and infrared products for military customers.
Leonardo DRS aims to expand its role as a provider of aircraft survivability systems and grow internal research-and-development work on infrared technologies through the transaction. The Arlington, Va.-based company says Daylight Solutions holds contracts for products to support aircraft survivability.
Leonardo DRS also envisions the laser products for use in the medical and industrial sectors such as cancer diagnostics and chemical detection. Daylight Solutions houses a scientific instrumentation business that works to build diagnostic and analytical tools for medical research and treatment.
The deal was approved by U.S. antitrust regulatory authorities and the Committee on Foreign Investment in the United States as Leonardo DRS is a subsidiary of the Italy-based conglomerate Leonardo.
Daylight Solutions stockholders are eligible for an additional earn-out on top of the $150 million value if the business meets certain financial and operating goals this year. The deal valued Daylight Solutions at roughly nine times over earnings before interest, taxes, depreciation and amortization.
Ross Wilkers is a senior staff writer for Washington Technology. He can be reached at email@example.com. Follow him on Twitter: @rosswilkers. Also connect with him on LinkedIn.