* Esterline eyes share in high-growth ISR market
* Deal financed from cash on hand
Jan 3 (Reuters) - Esterline Corp said it acquired privately held Eclipse Electronic Systems for about $120 million as the Aerospace and defense parts supplier expands into the intelligence, surveillance and reconnaissance (ISR) market.
Texas-based Eclipse supplies signals intelligence and communications intelligence receiver hardware to the airborne ISR market.
Acquisitions of smaller companies that excel in cybersecurity and intelligence-gathering have gained momentum in recent months as big defense contractors look to align their business offerings with emerging government needs.
In December, Raytheon Co agreed to acquire cybersecurity firm Applied Signal Technology Inc for $490 million.
Aerospace giant Boeing Co acquired Argon ST for $775 million to beef up its capabilities in sensors, communication technologies and information management.
A combination of continued organic growth and the potential for further acquisitions will enable Esterline to develop a broader position in this important and growing market, Chief Executive Brad Lawrence said in a statement.
Esterline shares, which gained 20 percent of their value in the last three months, closed at $68.59 Friday on the New York Stock Exchange.
(Reporting by Bijoy Koyitty in Bangalore; Editing by Jarshad Kakkrakandy) Keywords: ESTERLINE/ (bijoy.koyitty@thomsonreuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 4135 5800; Reuters Messaging: bijoy.koyitty.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2011. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
* Deal financed from cash on hand
Jan 3 (Reuters) - Esterline Corp said it acquired privately held Eclipse Electronic Systems for about $120 million as the Aerospace and defense parts supplier expands into the intelligence, surveillance and reconnaissance (ISR) market.
Texas-based Eclipse supplies signals intelligence and communications intelligence receiver hardware to the airborne ISR market.
Acquisitions of smaller companies that excel in cybersecurity and intelligence-gathering have gained momentum in recent months as big defense contractors look to align their business offerings with emerging government needs.
In December, Raytheon Co agreed to acquire cybersecurity firm Applied Signal Technology Inc for $490 million.
Aerospace giant Boeing Co acquired Argon ST for $775 million to beef up its capabilities in sensors, communication technologies and information management.
A combination of continued organic growth and the potential for further acquisitions will enable Esterline to develop a broader position in this important and growing market, Chief Executive Brad Lawrence said in a statement.
Esterline shares, which gained 20 percent of their value in the last three months, closed at $68.59 Friday on the New York Stock Exchange.
(Reporting by Bijoy Koyitty in Bangalore; Editing by Jarshad Kakkrakandy) Keywords: ESTERLINE/ (bijoy.koyitty@thomsonreuters.com; within U.S. +1 646 223 8780; outside U.S. +91 80 4135 5800; Reuters Messaging: bijoy.koyitty.reuters.com@reuters.net) COPYRIGHT Copyright Thomson Reuters 2011. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.