Elbit Systems Ltd. announced that the Committee for the Tender of the Sale of State Shares and its Board of Directors has approved the agreements reached between Elbit Systems and the Israeli Government for the acquisition of IMI Systems Ltd. (formerly Israel Military Industries).
The purchase price will be approximately $495 million (NIS 1.8 billion), with an additional payment of approximately $27 million (NIS 100 million) contingent upon IMI meeting certain performance goals.
Completion of the transaction is subject to the signing of the relevant documents and the receipt of the remaining applicable governmental approvals, including the approval of the Head of the Israeli Antitrust Authority.
Bezhalel (Butzi) Machlis, Elbit Systems President & CEO, commented: “IMI Systems capabilities and technologies are synergetic to Elbit Systems, making this acquisition significant to our long-term growth strategy. We look forward to completing the transaction, which will enable us to offer an enhanced portfolio to both the Israeli and global markets. Elbit Systems has a proven track record of successfully performing major acquisitions, and we are confident that this acquisition will be beneficial for Israel’s economy as well as for both companies’ employees and customers.”
IMI Systems, formerly Israel Military Industries, also referred to as Ta’as, is an Israeli weapons manufacturer. It manufactures weapons, munitions and military technology mainly for Israeli security forces (especially the Israel Defense Forces or IDF).
The company’s Uzi submachine gun is arguably the most popular submachine gun in the world, because of its compact nature and reliability.
Besides small arms, the IMI also produces heavy weapons. IMI engages in many upgrade projects for military vehicles (tanks, APCs and other armoured fighting vehicles).
IMI also produces a wide range of defensive products such as vehicle add-on armor packages, landmine clearing systems, and reconnaissance systems and bridges. It also produces aircraft countermeasures, such as flares, decoys and electronic countermeasures control systems, some of which IMI now offers also for land- and sea-based platforms.
Elbit Systems Ltd. is an Israel-based international defense electronics company engaged in a wide range of programs throughout the world.
The company, which includes Elbit Systems and its subsidiaries, operates in the areas of aerospace, land and naval systems, command, control, communications, computers, intelligence surveillance and reconnaissance (C4ISR), unmanned aircraft systems (UAS), advanced electro-optics, electro-optic space systems, electronic warfare suites, signal intelligence (SIGINT) systems, data links and communications systems and radios.