By Josh White
Date: Thursday 04 Mar 2021
LONDON (ShareCast) - (Sharecast News) - BAE Systems announced the acquisition of high-end electronics developer and manufacturer Pulse Power and Measurement (PPM) on Thursday, on undisclosed terms.
The FTSE 100 firm said PPM's technology had the capability to increase the speed and ease of sharing large volumes of data over a network - an ability it described as "crucial" to give military and security customers an information advantage.
Based in Shrivenham with approximately 60 employees, PPM specialises in the design and manufacture of a wide range of radio frequency (RF)-over-fibre systems, which allow radio frequency signals to be transmitted over fibre optic cables.
The company also provides bespoke systems for the renewable power industry and electrification of automotive and aerospace vehicles.
PPM had a "strong" track record of working within the defence and communications sector, cyber security and commercial test and research markets in both the UK and United States, BAE said, meaning it would "strongly complement" its existing digital and data capabilities.
"Pulse Power and Measurement and BAE Systems are an excellent fit," said Ian Muldowney, chief operating officer and engineering director for BAE Systems' air sector.
"Both companies have superb technology credentials, thrive on innovation and work closely with military and government customers to deliver pioneering technology-based solutions.
"The acquisition further advances our strategic objective to develop and grow our capabilities in secure systems and information exploitation."
PPM would become a wholly-owned subsidiary of BAE Systems, retaining the name of Pulse Power and Measurement Limited.
The company said the acquisition was part of its strategy to develop "breakthrough" technologies, with continued investment in research and development, working with customers, industry partners, SMEs and academia, and pursuing bolt-on acquisitions where they complemented existing capabilities and provided an opportunity to accelerate its position in key areas.
It said the transaction built on recent acquisitions including Prismatic, Techmodal and two high-end technology acquisitions in the US, as it continued to "strengthen and evolve" its portfolio towards customer priorities and future growth areas.
"We are excited about joining BAE Systems and bringing together our complementary capabilities, which will give our innovative team of specialists and engineers access to world-class expertise and ensure our successful business continues to grow," said Martin Ryan, managing director of PPM.
At 1037 GMT, shares in BAE Systems were down 0.82% at 495p.