Alaris Holdings has acquired United States-based company mWave Industries as it expands its presence around the world and pursues the lucrative American market.
The acquisition was announced at the beginning of this month after Alaris applied for and received unconditional CFIUS (Committee on Foreign Investment in the United States) approval from the US Government. The final closing requirements were concluded on 30 September 2018 and the acquisition took effect from 1 October.
Alaris said it has resolved to provide financial assistance for up to R14.5-million to Alaris Investment Holdings UK to purchase 100% of the shares in Mwave Industries. mWave made a profit before tax of $420 000 for the year ending 31 December 2017.
mWave Industries is based in Windham, Maine, and provides custom and commercial microwave antenna solutions with special focus on 60, 70, 80, 94 & 110 GHz millimetre wave reflector antennas. Their microwave antenna brands include the Mark Grid, Gabriel, mWave and Quickfire lines of terrestrial microwave antenna The company was established in 2004 and designs and manufactures standard and custom microwave antenna products for commercial and government applications spanning the scientific, defence, and academic communities.
mWave specializes in parabolic grids, solid parabolic and directional panel antenna as well as feeds including conscan and monopulse designs. mWave’s additional product offerings consist of micro-strip arrays, panels, horns, helices, sectors, omnidirectional antennas and waveguide arrays. mWave maintains a fully equipped antenna test range that is used to verify new antenna designs and for production verification and third-party testing for its customers.
“The product lines complement one another and by joining forces, the companies will be able to provide an expanded product portfolio and improved service to customers,” said Group CEO of Alaris Holdings, Juergen Dresel.
“Being a client-centric organisation with clients based worldwide, the Group’s strategy was to expand its global footprint in order to be closer to its clients. With the acquisition of mWave, this objective becomes a reality.”
“Since the market in the US holds significant opportunities and international expansion is an important part of the Group’s global strategy, we are confident that this acquisition will not only provide increased benefits to our customers, but will improve shareholder value as well,” said Dresel.
The Alaris Holdings Group consists of Alaris Antennas (South Africa) and COJOT (Finland). The Alaris strategy is built on three pillars, namely radio frequency technology, owning intellectual property and global presence. One of the main objectives for Alaris is to expand its footprint globally. The US market is the largest defence market in the world representing approximately 60% of the global market. The US administration has for the first time in a few years, voted for and approved an increased defence budget to the amount of about $716 billion for 2019, Alaris notes.
Alaris Antennas designs, develops, manufactures and sells specialised broadband antennas as well as other related radio frequency products. Its products are used in the communication, frequency spectrum monitoring, test and measurement, electronic warfare and other specialised markets. Clients are located across the globe, mostly outside of South Africa (the Americas, Europe and Asia). Its clients are system integrators, frequency spectrum regulators and players in the homeland security space.
Alaris said it has grown annual turnover and profits consistently since its establishment in 2005.
COJOT was founded in 1986 and is located in Espoo, Finland. It develops broadband antennas to improve connectivity, coverage and competitiveness of radio equipment.