QualityStocks would like to highlight Henry Bros. Electronics (NASDAQ: HBE). Henry Bros. provides technology-based integrated electronic security solutions for commercial enterprises and government agencies, with special focus on national security projects, such as command and control systems and specialized surveillance, including thermal imaging systems.
In the company’s news yesterday,
Henry Bros. Electronics Inc. announced a merger agreement with Kratos Defense & Security Solutions, a company providing mission critical products and solutions for U.S. national security. The move is expected to create a stronger market presence and growth opportunity for both companies.
“This transaction combines two leaders in the defense and security solutions market, creating a great opportunity for our organization, customers and shareholders,” Jim Henry, president and CEO of Henry Bros. stated in the press release. “As a much larger organization, the combined company will be better able to establish a presence in targeted markets with the potential for significant growth opportunities, as well as enhanced service opportunities in certain key markets and industries.”
Per the agreement, Kratos Defense will acquire all outstanding shares of Henry Bros. common stock for $7 per share, an aggregate of approximately $45 million in cash.
Henry and all other directors of Henry Bros. collectively hold approximately 60 percent of Henry Bros. shares outstanding, and have agreed to vote in favor of the merger. Henry also stated his commitment to buy Kratos common stock in the open market at prevailing market prices using a portion of his share of the proceeds from the merger following the transaction closing.
Eric DeMarco, Kratos’ president and CEO, noted Henry Bros. leading position in the homeland security industry, and said he recognizes the advantages of combing the companies’ efforts, products and solutions.
“Henry Brothers is clearly one of the premier Homeland and National Security Solution Providers and Command and Control Center Design Engineering and Operators in the industry today,” DeMarco stated in the press release. “We see the opportunity for significant cross selling between the two businesses, including for Henry Brothers’ proprietary first responder communications products and solutions. Additionally, we see the opportunity to cross sell into HBE’s large and established customer base Kratos’ NeuralStar and DopplerVue situational awareness, security network management, protection and cybersecurity software products.
This deal is expected to close by the end of 2010.
About QualityStocks
QualityStocks, based in Scottsdale, Arizona is a free service that collects data from hundreds Small-Cap and Micro-Cap online Investment Newsletters into one Free Daily Newsletter Report. QualityStocks is dedicated to assisting emerging public companies with their advertising efforts and now has over 750,000+ subscribers that receive The Daily Stock Newsletters.
To sign up for “The QualityStocks Daily Newsletter” please visit www.QualityStocks.net
Please see disclaimer on QualityStocks website: http://Disclaimer.QualityStocks.net
Forward-Looking Statement:
This release may contain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All forward-looking statements are inherently uncertain as they are based on current expectations and assumptions concerning future events or future performance of the company. Readers are cautioned not to place undue reliance on these forward-looking statements, which are only predictions and speak only as of the date hereof. Risks and uncertainties applicable to the company and its business could cause the company's actual results to differ materially from those indicated in any forward-looking statements.
