Ultra buys Canadian ballistics and forensics analysis firm

28th Apr 2014 07:58

Defence, security, transport and energy group Ultra Electronics is to buy Forensic Technology, a company based in Canada which helped policy to combat gun crime.FTSE 250-listed Ultra said it would be paying an initial consideration of CAD$94m (£50.8m) in cash for the Montreal-headquartered firm, with additional payments of up to $6m subject to earnings growth over the next two years.The firm is being purchased from private investors and its management team, including its founder. However, the core management team will stay with the business, Ultra said.Rakesh Sharma, Ultra's Chief Executive, said that the deal provides an "important step in building our portfolio in the security sector".Forensic Technology, which employs 253 people across five offices around the globe, provides automated firearm ballistics identification and forensic analysis systems to law enforcement agencies in over 65 countries.The firm, which works with local and national police and internationally through its partnership with INTERPOL, is also currently developing a number of document security and analytic products.Forensic Technology will continue to operate from its existing facilities as a bolt-on acquisition to Ultra's Tactical & Sonar Systems Division."I am pleased with the acquisition of Forensic Technology. It has established a strong position in the international market place and its technologies and capabilities complement Ultra's broader law enforcement, security and data analytic offerings," Sharma said.Ultra expects the acquisitions to complete before the end of the second quarter.BC