Elbit Systems of America completes Sparton Corp. acquisition

Elbit Systems of America LLC, headquartered in Fort Worth, Texas, has completed the acquisition of Sparton Corp. from an affiliate of Cerberus Capital Management L.P. for $380 million, subject to customary price adjustments, resulting in a significant expansion of Elbit Systems of America in the United States.

Sparton, with its 120-year history and decades of defense experience spanning from World War I to today, is a U.S.-based premier supplier of critical undersea warfare solutions to the U.S. Navy and its allies, as well as engineered products for the defense industry.

“We welcome Sparton’s employees to the Elbit Systems of America family. Acquiring Sparton, one of the primary American suppliers of sonobuoys, as well as other undersea warfare products, provides us with another significant franchise and an expansion of our business with the U.S. Navy and within the U.S.,” said Elbit Systems of America President & CEO Raanan Horowitz. “Sparton has been and will continue to be led by a strong and capable management team and has a good reputation with the U.S. Navy customer. I believe this acquisition will have a positive impact on our growth in both the near and long-term as we continue to invest in Sparton and work to expand its business portfolio and capabilities."

“Demand for our undersea warfare products is increasing as a result of a heightened threat environment in both the Indo-Pacific and Atlantic,” said Bill Toti, President of Sparton De Leon Springs LLC, an Elbit Systems of America company.

Sparton’s Aydin Displays and Stealth divisions will operate as part of Elbit Systems of America’s existing security structure. “Combining their superior technology and products with Elbit Systems of America’s Airborne Solutions business unit will generate additional capabilities for our customers,” Horowitz said.

Elbit Systems of America operates under a Special Security Agreement with the U.S. Department of Defense that grants the company full rights, privileges, and responsibilities to provide advanced technology for U.S. national security needs. “Elbit Systems of America enjoys a decades-long record of performance supporting mission critical programs for the U.S. government, and an outstanding record of superior security and trust.” Horowitz added.