Published in News

Comtech mulls sell off

by on26 August 2014

Defence industry pauses

Communications gear maker Comtech Telecommunications is exploring strategic alternatives, including a possible merger or sale of the company.

Reuters reports Comtech has asked investment bank Citigroup to review a potential sale. Comtech makes satellite-based communications equipment for commercial and government customers and is seen as a potential takeover target for defence industry contractors.

The outfit had considered selling itself a few times in the past, and there is no guarantee the latest process will lead to a transaction. However Airbus parent EADS has been named as a possible buyer. Lately the company has been developing more contracts for non-defense customers in recent years following the loss of its largest military contractors, which represented roughly half of the company's total revenue for fiscal 2010 and 2011.

Rate this item
(0 votes)