CACI Completes Acquisition of Azure Summit Technology

Rhea-AI Summary

CACI International (NYSE: CACI) has completed the acquisition of Azure Summit Technology for $1.275 billion in an all-cash transaction. Azure Summit, with over 300 employees, specializes in radio frequency technology and electromagnetic spectrum engineering. The acquisition strengthens CACI's software-defined capabilities in signals intelligence, electronic warfare, and intelligence surveillance across maritime and airborne platforms. The company has secured a $750 million Term Loan B to support the transaction. Azure Summit's operations in Fairfax, Virginia and Melbourne, Florida expand CACI's U.S. presence.

Positive

• Strategic acquisition valued at $1.275B expands CACI's technology portfolio
• Adds 300+ skilled employees to workforce
• Enhances capabilities in signals intelligence and electronic warfare
• Expands customer presence and geographic footprint
• Strengthens maritime and airborne platform offerings

Negative

• Significant debt increase with $750M Term Loan B
• Large cash outlay of $1.275B impacts financial position

Insights

Financial Analyst

The $1.275 billion acquisition of Azure Summit Technology represents a significant strategic expansion for CACI in the defense technology sector. The deal's financing structure, including a $750 million Term Loan B, demonstrates strong financial planning while maintaining balance sheet flexibility. The acquisition brings immediate value through 300+ skilled employees and established contracts in critical defense domains.

Azure Summit's expertise in RF technology and electromagnetic spectrum capabilities will enhance CACI's market position in SIGINT, electronic warfare and ISR systems. This expansion into maritime and airborne platforms opens new revenue streams and cross-selling opportunities. The all-cash transaction structure suggests confidence in rapid integration and synergy realization, though investors should monitor integration progress and debt service costs in upcoming quarters.

Defense Technology Expert

This acquisition significantly strengthens CACI's position in the critical electromagnetic spectrum domain. Azure Summit's software-defined RF technology portfolio addresses growing military requirements for advanced SIGINT and electronic warfare capabilities, particularly important given current global security challenges. The expansion into maritime and airborne platforms is strategically vital as modern warfare increasingly depends on multi-domain operations.

The addition of specialized engineering talent in Fairfax and Melbourne locations enhances CACI's ability to serve key defense customers and participate in classified programs. This capability expansion in software-defined systems aligns with the Pentagon's push for more flexible, upgradeable defense solutions.

RESTON, Va.--(BUSINESS WIRE)-- CACI International Inc (NYSE: CACI) announced today that it has completed its acquisition of Azure Summit Technology, a provider of innovative, high-performance radio frequency (RF) technology and engineering, focused on electromagnetic spectrum, in an all-cash transaction for $1.275 billion.

“Today, we welcome more than 300 Azure Summit employees to CACI,” said John Mengucci, CACI President and Chief Executive Officer. “This is an extremely compelling acquisition for CACI – strategically, culturally, and financially. Azure Summit adds established, complementary technology and expands our customer presence. This meaningful addition also brings an exceptionally talented workforce whose commitment, innovation, and focus on excellence match our own.”

With the closing of this transaction, CACI bolsters its market-based strategy by expanding its software-defined offerings in signals intelligence (SIGINT), electronic warfare (EW), and intelligence, surveillance, and reconnaissance (ISR), across multiple domains, platforms, and customer sets. In particular, this acquisition expands the breadth of CACI’s reach and insight into maritime and airborne platforms.

“I’m excited about the many opportunities that lie ahead to leverage our expansive solutions to meet our customers’ most pressing needs in national security,” said Mengucci.

With Azure Summit’s locations in Fairfax, Virginia and Melbourne, Florida, CACI also expands its U.S. presence.

Concurrent with the completion of the acquisition, the company entered into a $750 million Term Loan B as planned and previously disclosed.

About CACI

At CACI International Inc (NYSE: CACI), our 24,000 talented and dynamic employees are ever vigilant in delivering distinctive expertise and differentiated technology to meet our customers’ greatest challenges in national security. We are a company of good character, relentless innovation, and long-standing excellence. Our culture drives our success and earns us recognition as a Fortune World's Most Admired Company. CACI is a member of the Fortune 1000 Largest Companies, the Russell 1000 Index, and the S&P MidCap 400 Index. For more information, visit us at www.caci.com.

There are statements made herein which do not address historical facts, and therefore could be interpreted to be forward-looking statements as that term is defined in the Private Securities Litigation Reform Act of 1995. Such statements are subject to factors that could cause actual results to differ materially from anticipated results. The factors that could cause actual results to differ materially from those anticipated include, but are not limited to, the risk factors set forth in CACI’s Annual Report on Form 10-K for the fiscal year ended June 30, 2024, and other such filings that CACI makes with the Securities and Exchange Commission from time to time. Any forward-looking statements should not be unduly relied upon and only speak as of the date hereof.

CACI-Acquisition-Business Wire

View source version on businesswire.com: https://www.businesswire.com/news/home/20241030714385/en/

Corporate Communications and Media:

Lorraine Corcoran

Executive Vice President, Corporate Communications

(703) 434-4165, lorraine.corcoran@caci.com

Investor Relations:

George Price

Senior Vice President, Investor Relations

(703) 841-7818, george.price@caci.com

Source: CACI International Inc

FAQ

How much did CACI pay for Azure Summit Technology?

CACI acquired Azure Summit Technology for $1.275 billion in an all-cash transaction.

What financing did CACI secure for the Azure Summit acquisition?

CACI secured a $750 million Term Loan B to support the acquisition.

How many employees will join CACI from Azure Summit?

More than 300 Azure Summit employees will join CACI following the acquisition.

What are Azure Summit's main technology capabilities being added to CACI?

Azure Summit adds radio frequency (RF) technology and engineering capabilities, focusing on signals intelligence (SIGINT), electronic warfare (EW), and intelligence, surveillance, and reconnaissance (ISR).