Benzinga | Mar 22, 2021 10:05AM EDT

AMETEK To Acquire Veritas Capital Owned Abaco Systems For $1.35B

Electronics instrument maker AMETEK Inc (NYSE: AME) inked an agreement to acquire Veritas Capital-owned mission-critical embedded computing system provider Abaco Systems Inc for $1.35 billion in an all-cash transaction.

* Yesterday, there were reports of AMETEK buying Aback for $1.5 billion.

* With annual sales of $325 million, Abaco Systems would join AMETEK's Electronic Instruments Group (EIG) with an annualized sales of $3 billion.

* Abaco Systems specialized in open-architecture computing and electronic systems for aerospace, defense, and specialized industrial markets. Their ruggedized products were designed to survive extreme temperature and high vibration.

* Abaco Systems' embedded computing solutions were ideally positioned across many aerospace and defense platforms, further broadening AMETEK's differentiated product offering serving these markets, as per AMETEK CEO David A. Zapico.

* AMETEK's cash and cash equivalents amounted to $1.2 billion as of December 31, 2020.

* AMETEK stock has gained 75% last year.

* Price action: AME shares are trading flat at $120.74 on the last check Monday.