Summary of deal:
EADS North America has acquired PlantCML, a California-based provider of emergency response solutions from private equity fund Golden Gate Capital for approximately $350 million. PlantCML offers call management and radio dispatch products for emergency call centers,  emergency notification services, computer aided dispatch applications and mapping services. EADS North America is a subsidiary of European Aeronautic Defence and Space Company (EADS) NV.

INPUT's Take:
This acquisition will help EADS enter the professional mobile radio solutions market. "Bringing PlantCML into our business portfolio further enhances EADS North America’s capabilities in ensuring the homeland security of the United States,” said Ralph D. Crosby, Jr., chief executive officer of EADS North America. EADS prime contract obligations decreased from $8,180,000 in FY 2006  to $2,378,000 in FY 2007 with $1,661K obligated to their GSA Schedule 70 contract GS35F0417K for ADP facility management, other ADP services, and tech rep services/communication equipment.

With average revenue trailing three years at $37 million as of July 2006 (source: INPUT Small Business Directory), and with $89M in revenue as of government fiscal year 2007 (source: INPUT and FPDS), PlantCML has been growing quickly in commercial and state & local markets, but not in federal work. PlantCML had less than $200K of prime federal work in FY 2007. The consideration of $350 million reflects of price of nearly 4x revenue given FY07 revenue of $89M.

EADS joins other large European defense companies QinetiQ Group PLC and BAE Systems PLC with frequent acquisitions in the U.S government market.

More Details of the Transaction: EADS buys PlantMCL