ManTech International announced that it completed the acquisition of Sensor Technologies (STI) on Jan. 15 for US$242 million in cash. Headquartered in Red Bank, New Jersey and founded in 1991, STI is a provider of mission-critical systems engineering and Command, Control, Communications, Computers, Intelligence, Surveillance and Reconnaissance (C4ISR) services and solutions to the Department of Defense. STI's largest customer is the US Army through several contracts, including its prime position on the S3 Indefinite Delivery/Indefinite Quantity contract, receiving more than $2.5 billion in task orders to date.
"On behalf of George Pedersen and our Board of Directors, I'd like to formally welcome Michael Gualario and the entire STI family to the ManTech team. Together, we can offer more support, innovation and value to our Army customer. Under Lou Addeo's leadership, the Technical Services Group has begun integrating this strategic acquisition and has hired nearly 400 people on our recent $286 million win at the US Army Electronic Proving Grounds, which position us for excellent growth in 2010," said Lawrence Prior, ManTech President and COO.
The company expects that the acquisition will add about $450 million to its revenue and at least $31 million to its earnings before interest, taxes, depreciation and amortization (EBITDA) in fiscal year 2010, excluding the cash tax deferral associated with the 338(h)(10) election. The company expects the acquisition to be accretive to its earnings per share in 2010 and will provide annual guidance for revenue, net income and earnings per share on its next earnings conference call, which is scheduled for Feb. 24.