DRS Technologies Buys Rugged PC Maker WalkAbout Computers

WalkAbout is expected to generate about $20 million to $25 million in annual revenues in its first year under DRS.DRS Technologies (NYSE: DRS), headquartered in Parsippany, announced Monday that it has acquired WalkAbout Computers from Scorpion Holdings in a stock-purchase transaction. The terms and the sum were not disclosed.
WalkAbout Computers, based West Palm Beach, Florida, is a designer and manufacturer of industrial rugged-tablet computers and docking stations for mobile users operating in harsh environments. The company serves the transportation and distribution, military, public safety, utilities and emergency medical services, field service and manufacturing industries.
“WalkAbout participates in one of the fastest-growing segments of the rugged-computer marketplace,” said Mark S. Newman, chairman, president and chief executive officer of DRS Technologies. He added that WalkAbout would enhance DRS’ tactical computer systems business, adding an established industrial customer base, and accelerate the company’s strategy to meet the growing demand for tablet PCs in the military marketplace.
WalkAbout is expected to be accretive to DRS’ earnings and generate approximately $20 million to $25 million in annual revenues in its first twelve months of operation under DRS ownership.
DRS financed the acquisition with cash on hand. Ryan, Beck & Co. served as financial advisor to WalkAbout Computers.
At the close of trading DRS shares were up $0.71 to $48.73.