Stellant Systems, Inc. (Stellant) and Comtech Telecommunications Corp. (NASDAQ: CMTL) (Comtech) lately introduced that the businesses entered right into a definitive settlement below which Stellant will purchase Comtech’s Power Systems Technology (PST) product line for a complete money buy value of $40 million, which features a preliminary gross sales value of $35 million and contingent consideration as much as $5 million primarily based on the achievement of sure targets.

The transaction was unanimously accredited by the board of administrators of each firms. Stellant is a portfolio firm of Arlington Capital Partners (Arlington), a Washington-D.C. primarily based non-public fairness agency with in depth expertise investing in regulated industries.

The acquisition of the PST product line will strengthen Stellant’s portfolio of RF amplification merchandise. PST’s wealthy heritage brings a differentiated set of applied sciences within the solid-state energy amplification market, a gifted work pressure and an nearly completely complimentary buyer set to Stellant. Driving additional innovation in stable state expertise is a core precept of Stellant’s strategic imaginative and prescient to supply clients with best-in-class choices throughout all amplification approaches, together with vacuum tube and stable state.

The transaction is predicted to shut by the tip of October 2023, topic to regulatory approvals and customary closing situations.