Benzinga | Mar 22, 2021 04:04AM EDT

Ametek In Advanced Talks To Buy Abaco Systems For $1.5B: Report

Ametek Inc (NYSE:AME) is said to be nearing a $1.5 billion deal to acquire Abaco Systems Inc for as much as $1.5 billion.

What Happened: The electronics instruments maker is talking with its current owner and private equity firm Veritas Capital to acquire the former General Electric Co (NYSE:GE) subsidiary, Bloomberg reported on Sunday, citing people with knowledge of the matter.

Abaco primarily offers products and services related to rugged computing in sectors like defense and aerospace in addition to commercial and industrial organizations. It was bought by Veritas in December 2015 for an undisclosed amount and was then named GE Intelligent Platforms.

Why It Matters: Ametek employs about 17,000 people across 30 countries, Bloomberg noted based on its website. The stock has risen about 107% over a year, and is down about 0.2% year-till-date.

Veritas, which raised its first fund in 1998, focuses its deals on businesses that interact with the government, including in aerospace, defense, and technology, according to its website.

A final decision hasn't been made and Veritas could decide to sell to another buyer or keep the business, the Bloomberg report said.

Price Action: Ametek shares closed 0.75% lower at $120.7 on Friday.

Photo: Courtesy of Abaco