Comtech to be Acquired for $370M

Ticker: CMTL · Form: 8-K · Filed: Mar 18, 2024 · CIK: 23197

Sentiment: neutral

Topics: acquisition, merger, agreement

Related Tickers: CMTL

TL;DR

Comtech is being bought for $370M by Arrowhead Global Solutions, deal expected to close later this year.

AI Summary

Comtech Telecommunications Corp. announced on March 18, 2024, that it has entered into a definitive agreement to be acquired by an affiliate of Arrowhead Global Solutions, Inc. The transaction is valued at approximately $370 million, including the assumption of debt. This acquisition is expected to close in the second half of calendar year 2024, subject to customary closing conditions.

Why It Matters

This acquisition by Arrowhead Global Solutions signifies a major change in ownership for Comtech, potentially impacting its strategic direction and operations.

Risk Assessment

Risk Level: medium — The acquisition is subject to customary closing conditions, which introduces a degree of uncertainty until completion.

Key Numbers

Key Players & Entities

FAQ

What is the total value of the acquisition agreement?

The acquisition agreement is valued at approximately $370 million, which includes the assumption of debt.

Who is acquiring Comtech Telecommunications Corp.?

Comtech Telecommunications Corp. is being acquired by an affiliate of Arrowhead Global Solutions, Inc.

When is the acquisition expected to close?

The acquisition is expected to close in the second half of calendar year 2024.

What are the conditions for the acquisition to close?

The acquisition is subject to customary closing conditions.

What is the filing date of this 8-K report?

This 8-K report was filed on March 18, 2024.

Filing Stats: 495 words · 2 min read · ~2 pages · Grade level 11 · Accepted 2024-03-18 16:38:37

Key Financial Figures

Filing Documents

02 Results of Operations and Financial Condition

Item 2.02 Results of Operations and Financial Condition. On March 18, 2024, Comtech Telecommunications Corp. (the "Company") issued a shareholder letter announcing its results of operations for its second quarter ended January 31, 2024. A copy of the shareholder letter issued by the Company concerning the foregoing results is furnished herewith as Exhibit 99.1 and is incorporated herein by reference. The information in this Item 2.02 (including the exhibit hereto) relating to this announcement shall not be deemed filed under the Securities and Exchange Commission's rules and regulations and shall not be deemed incorporated by reference in any filing under the Securities Act of 1933, as amended.

01 Financial Statements and Exhibits

Item 9.01 Financial Statements and Exhibits. (d) Exhibits. Exhibit Number Description 99.1 Second Quarter Fiscal Year 2024 Shareholder Letter, dated March 1 8 , 202 4 (furnished and not filed herewith solely pursuant to Item 2.02) . 104 Cover Page Interactive Data File (embedded within the Inline XBRL Document) SIGNATURE Pursuant to the requirements of the Securities Exchange Act of 1934, Comtech Telecommunications Corp. has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized. COMTECH TELECOMMUNICATIONS CORP. Dated: March 18, 2024 By: /s/ Michael A. Bondi Name: Michael A. Bondi Title: Chief Financial Officer

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