Wärtsilä Corporation finalised its acquisition of the Germany-based L-3 Marine Systems International (MSI), and control of the company will be transferred to Wärtsilä with effect from 1 June 2015.
In December 2014, Wärtsilä announced an agreement to acquire MSI from NYSE-listed L-3 Communications Holdings using financing from existing cash resources and credit facilities. The transaction is valued at EUR 285M (enterprise value). After estimated adjustments of cash, working capital and pension liabilities, the purchase price is estimated to be EUR 295M. The final purchase price will be determined based on closing accounts. The acquisition received Korean merger control clearance in March and EU clearance in April.
Electrical and Automation (E&A) systems are of increasing importance since the operation of ships is becoming ever more sophisticated. Wärtsilä’s strong position in the development of technologies that enhance operational efficiency will be further strengthened with the addition of MSI’s broad range of capabilities. The company’s portfolio comprises several well-known product brands, including SAM Electronics, Valmarine, Lyngsø Marine, Dynamic Positioning & Control Systems, Jovyatlas Euroatlas, ELAC Nautik, FUNA, GA International and APSS.
MSI has extensive experience in supplying automation, navigation and electrical systems, dynamic positioning technology, as well as sonar and underwater communications technology for a variety of vessel types and offshore installations. The MSI organisation will be integrated with Wärtsiläs existing E&A business.
