VEC - Vectrus to buy Zenetex for $112M
Vectrus (VEC) inks agreement to acquire Zenetex, a provider of technical and strategic solutions for defense and national security clients globally.The transaction value of ~$112M is net of an anticipated $11M transaction-related tax benefit and represents a multiple of ~8.4x 2020E adjusted EBITDA, adjusted for estimated annual cost synergies.The deal will broadens Vectrus' reach into the Intelligence Community and will add new Foreign Military Sales clients.The acquisition will expand operations and maintenance services to increase content and scope at client installations by providing mission-critical support services for vital defense aviation programs.For 2020, Zenetex expects to generate revenue of over $200M.The transaction is expected to close in 2020.
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Vectrus to buy Zenetex for $112M