ITT Industries, Inc. (NYSE: ITT) today announced that it has signed an agreement with Northrop Grumman Corporation (NYSE: NOC) to acquire the VEAM/TEC division of Northrop Grumman’s Component Technologies sector. VEAM/TEC is a leader in the design and manufacture of cylindrical, filter and fiber optic connectors for the military/aerospace, industrial, transit, entertainment and nuclear markets.
Financial terms of the acquisition were not disclosed. The transaction is expected to close within 45 days, pending regulatory approval and customary closing conditions.
“The acquisition of VEAM/TEC is consistent with our long-term strategy of expanding our footprint in higher-growth, profitable markets,” said Gerry Gendron, Senior Vice President of ITT Industries, and President, ITT Industries, Cannon. “VEAM/TEC significantly broadens the product portfolio and capabilities we are able to offer to our customers, and its expertise in high reliability products is a perfect complement to our heritage of designing products for the harshest environments. It’s a great fit for Cannon’s existing business.”
Ronald Sugar, Northrop Grumman president and chief operating officer said, “We are pleased to know that VEAM/TEC’s long tradition of quality and service will become part of the ITT Industries portfolio.”
ITT Industries, Cannon is a leading manufacturer of switches and keypads, as well as high-end electromechanical switches, connectors, smartcard connectors, high speed/high-bandwidth network systems and services, and value-added panel and switch assemblies.
Founded in 1936, VEAM/TEC has an excellent reputation for providing customized connector solutions within a product portfolio that includes composite plastic circulars, fiber optics, high-density rectangular and high power/high voltage connectors. VEAM/TEC’s products provide connectivity for electrical power, electrical signal and optical signals.
VEAM/TEC has a particularly strong presence in Europe, where it is a well-known brand with strong relationships with transit and entertainment
customers. The company is headquartered in Watertown, Conn., with primary manufacturing in Milan, Italy, and additional facilities in Glenrothes, Scotland; Enfield, England; and Stuttgart, Germany. The company employs approximately 450 people. Estimated sales for 2002 are $47 million.
About ITT Industries
ITT Industries, Inc. ( http://www.itt.com ) supplies advanced technology products and services in key markets including: electronic interconnects and switches; defense communication, opto-electronics, information technology and services; fluid and water management and specialty products. Headquartered in White Plains, NY, the company generated $4.7 billion in 2001 sales. In addition to the New York Stock Exchange, ITT Industries stock is traded on the Midwest, Pacific, London, Paris and Frankfurt exchanges.