Air refuelling equipment maker Cobham has acquired the share capital of Telerob GmbH, a privately-owned German-based defence equipment manufacturer, for Eu78m.
Telerob manufactures medium and heavy-weight explosive ordnance device (EOD) robots and response vehicles designed to deal with nuclear, biological and chemical threats. The company will become part of Cobham’s Mission Equipment business unit, strengthening the group’s ability to deliver robot products to fast-growing homeland security markets around the world.
Cobham will be able to integrate its technology into Telerob systems, including communications equipment and sensors that it already provides for the EOD market — along with specialist cameras manufactured by another recently acquired company, RVision. Indeed, Cobham has acquired two businesses in the US and Europe — worth $150m — in the past month, both serving homeland security markets with complementary technologies and routes to market.
The acquisition of Telerob is being funded from Cobham’s existing cash resources. The consideration comprises €75 million payable in cash on completion on a debt and cash free basis, and a seller’s note from certain shareholders of €3m which will be repayable in installments on the first, second and third anniversary of completion.
Andy Stevens, Cobham’s chief executive officer, said: “Telerob brings distinctive explosive ordnance device technology and international routes to market that are highly complementary to ours. This acquisition will enable us to enhance the product range we can offer to homeland security markets.”