EMCORE Corp. EMKR -5.58%↓ has acquired KVH Industries’ KVHI 2.30%↑ Fiber Optic Gyroscope and Inertial Navigation Systems business segment today for $55 million in cash.
EMCORE, which offers mixed-signal products for aerospace and defense communications, said the deal includes all of KVH’s FOG and INS intellectual property and assets/liabilities. The acquisition also includes KVH’s 100,384-square-foot Tinley Park, Ill., production facility.
EMCORE’s third quarter 2022 revenue was $23.7 million, which included $13.4 million from aerospace and defense sales, and $10.3 million from the broadband segment. By acquiring KVH’s FOG/INS segment, the company said it adds a business generating more than $30 million in annual revenue.
The KVH FOG/INS business segment gives EMCORE an established U.S. Army customer, terrestrial applications and new industrial autonomy market opportunities, the company said.
“When we combine these with EMCORE’s closed loop and transceiver technologies, we see substantial opportunities for both businesses across revenue, gross margins, and net income. The addition of the KVH inertial navigation product line further expands our reach into the tactical grade segment of the market,” said Jeff Rittichier, EMCORE president and CEO, in a statement.
Contact: Tom Minichiello, EMCORE, (626) 293-3400, investor@emcore.com.
