FLIR purchases ICx Technologies for $274 million

| Print |  Email
The Latest
Monday, August 16, 2010

Wilsonville-based FLIR Systems announced this morning an agreement to acquire ICx Technologies for $274 million. FLIR, maker of thermal imaging and camera system products, will pay $7.55 per share for the detection and surveillance company based in Arlington, VA.

ICx is one of the leading providers of sensor technologies for homeland security with reported revenue of approximately $168 million. With the acquisition FLIR will expand its business to include sensors for chemical, biological, radiological, nuclear, and explosives detection for defense and homeland security markets.

Under terms of the agreement ICx can consider competing bids.

"[ICx] has developed and is developing advanced sensors that gives us a very big portfolio of additional sensors to add to ours,” said president and CEO Earl Lewis, during a recorded press conference this morning. “It’s a complete suite of technology, and not trying to develop it ourselves is very worth the asking price.”

Lewis said ICx has done a terrific job in cultivating the government as a customer in order to harness research and development funds in a way that FLIR hasn’t. He hopes that this acquisition will allow FLIR to learn from ICx and also expand its existing intelligence surveillance and radar technologies. The transaction is expected to close in the fourth quarter and upon completion ICx's operations will be integrated into FLIR's Government Systems Division.

FLIR’S government division has seen impressive growth in the last two months. In July a $5.4 million order was placed by U.S. Customers and Border Protection in addition to a $14.1 million order from STARA Technologies for infrared cameras to be used in Afghanistan. FLIR gets approximately 35% of its total revenue from government contracts.

Although government business has grown for FLIR, approximately 22% over the last five years according to Lewis, he expects the commercial side of the business to be more profitable in the long-run. He expects to see this sensor technology eventually used in various sensor systems for commercial vehicles and other products.

ICx also reported lower than expected quarterly results this morning with second-quarter revenue down $36 million compared to $45 million in 2009.

Jessica Hoch is an online reporter for Oregon Business.

 

More Articles

Balancing Act

July/August 2015
Friday, July 10, 2015
BY DAN COOK

The Affordable Care Act has triggered a rush on health care plan redesign, a process fraught with hidden costs and consequences.


Read more...

Reader Input: Energy Overload

June 2015
Wednesday, July 15, 2015

We asked readers to weigh in on the fossil fuel-green energy equation.


Read more...

House of Clarity

July/August 2015
Monday, July 13, 2015
BY JACOB PALMER

Holding a Power Lunch at Veritable Quandary in downtown Portland.


Read more...

Brain Storm

July/August 2015
Monday, July 13, 2015
BY CAMILLE GRIGSBY-ROCCA

Can the brave new world of neurotechnology help an OHSU surgeon find a cure for obesity?


Read more...

Fueling Up for the Climb

July/August 2015
Friday, July 10, 2015
BY GREGG MORRIS

Rita Hansen aims to scale natural gas vehicle innovation.


Read more...

The Private 150: From Strength to Strength

July/August 2015
Monday, July 13, 2015
BY KIM MOORE

Revenues in Oregon's private, for profit sector maintained solid growth as the economy continued to rebound.


Read more...

Store Bought

July/August 2015
Friday, July 10, 2015
BY LINDA BAKER

Market of Choice is on a tear. In 2012 the 35-year-old Eugene-based grocery chain opened a central kitchen/distribution center in its hometown. The market opened its third Portland store in the Cedar Mill neighborhood this year; another outpost in Bend broke ground in March. A fourth Portland location is slated for the inner southeast “LOCA” development, a mixed-use project featuring condos and retail. Revenues in 2014 were $175 million, a double-digit increase over 2013. CEO Rick Wright discusses growth, market trends and how he keeps new “foodie” grocery clerks happy.


Read more...
Oregon Business magazinetitle-sponsored-links-02
SPONSORED LINKS