ITT Corp. (White Plains, N.Y.) announced has completed the acquisition of EDO Corp., a global aerospace and defense company, for $56.00 per share plus the assumption of debt, which values the transaction at approximately $1.7 billion. The agreement to purchase EDO was announced on Sept. 17 and approved by EDO shareholders at a special meeting held Tuesday, Dec. 18, 2007.
"We believe EDO is an excellent strategic fit for our company and enhances our ability to meet the dynamic needs of our customers. EDO has talented people, proven technologies and strong customer relationships which offer wonderful complements to our business,"said Steve Loranger, chairman, president and chief executive officer, ITT. "We're pleased the transaction closed smoothly and ahead of schedule, allowing us to turn our attention to integrating these two great businesses and unlocking the tremendous value anticipated from this combination.â€
EDO employs approximately 4,000 people and is a leader in the design and development of advanced systems at the center of the military’s transformation to more secure and smarter defense capabilities. EDO has grown revenues at a compound annual growth rate of almost 16 percent over the last three years, and is anticipated to grow at approximately 60 percent in 2007 to its current-year forecast of approximately $1.15 billion. EDO will be fully integrated with ITT's defense business.
The acquisition is ITT's largest since becoming an independent company in 1995.