Flir Systems agrees to add Endeavor Robotics to it's unmanned system portfolio

WILSONVILLE, Ore. Officials at FLIR Systems, Inc. entered into a definitive agreement to acquire Endeavor Robotic Holdings, Inc., a developer of tactical unmanned ground vehicles (UGVs) for the global military, public safety, and critical infrastructure markets, from Arlington Capital Partners for $385 million in cash.

Endeavor’s ground robots utilize advanced sensing and actuation in providing explosive ordnance disposal, reconnaissance, inspection, and hazardous materials support for troops, police, and industrial users at stand-off range. Along with the recent acquisition of Aeryon Labs, FLIR continues to expand its unmanned systems capabilities.

Based outside Boston and formerly known as iRobot Defense & Security, Endeavor has shipped more than 7,000 UGVs to customers in over 55 countries. Endeavor is one of the UGV providers to the United States (U.S.) Department of Defense (DoD), and a supplier of unmanned systems for the accelerating modernization of global military and law enforcement operational assets. Having recently been awarded the U.S. Army’s Man Transportable Robotic System Increment II (MTRS Inc II) contract, Endeavor is a participant in several programmatic opportunities with the U.S. DoD and its ally militaries worldwide.

“The acquisition of Endeavor Robotics, coupled with previous acquisitions of Aeryon Labs and Prox Dynamics, has positioned FLIR as a leading unmanned solutions provider and advances the strategy we detailed at our Investor Day last year,” said Jim Cannon, President and CEO of FLIR Systems. “This acquisition aligns with our evolution from sensors to intelligent sensing and ultimately solutions that save lives and livelihoods. Endeavor’s momentum with the U.S. DoD and other global defense and police forces provides us significant opportunity to participate in long-term franchise programs and will help us create growth for the company.”

Upon closing of the acquisition, which is expected in the first quarter of 2019, Endeavor will be part of the FLIR Government and Defense Business Unit’s Unmanned Systems and Integrated Solutions division. The transaction is expected to be $0.03 dilutive to FLIR Systems’ 2019 adjusted earnings per share due to borrowing costs associated with funding the transaction, and accretive thereafter.