BAE Systems to acquire Atlantic Marine

New Delhi: Global defense, security and aerospace company BAE Systems today said that it has entered into a definitive agreement to acquire privately-held Atlantic Marine Holding Company  from private equity firm JFL-AMH Partners, LLC, a portfolio company of the private equity firm J F Lehman & Company for $352 million in an all-cash deal.

The acquisition does not include Atlantic Marine's Boston and Philadelphia operations, which will be retained by JFL-AMH Partners, LLC.

Atlantic Marine provides MROC, marine fabrication, and ship construction services. Founded in 1964, Atlantic Marine has expanded its operations and capabilities to meet the vessel MROC and marine fabrication needs of a diverse customer base including Navy Surface Combatants, as well as the commercial, offshore, other government ship-types and mega-yacht segments.

BAE Systems said the acquisition will be funded from its existing cash resources. The proposed acquisition is conditional, among other things, upon receiving certain US regulatory approvals and is expected to close in the third quarter of 2010.

Atlantic Marine is a privately held vessel maintenance, repair, overhaul and conversion (MROC), marine fabrication, and ship construction services provider with operations at Mayport and Jacksonville, Florida; Moss Point, Mississippi; and Mobile, Alabama.

''BAE Systems' strategy for our ship repair business is successfully growing marine sustainment activities in surface ship repair, as well as migrating our capabilities into naval modernization and upgrade. The acquisition of Atlantic Marine's operations, highly skilled workforce, and marine fabrication capabilities will enhance BAE Systems' ability to serve customers in the naval support and upgrade sector,'' said Linda Hudson, President and CEO, BAE Systems, Inc.