CACI International (CACI) M&A Announcement summary

Deal rationale and strategic fit

• Acquisition targets a leading technology provider in the national security space, expanding presence in electronic warfare, intelligence, and Department of Defense markets.

• Complements and broadens existing sensing, intelligence, and agentic AI-enabled software capabilities across space, land, air, and sea domains.

• Fills capability and customer gaps, supporting long-term growth and strengthening leadership in a growing market.

• Builds on shared heritage, mission-focused cultures, and technical workforce, fostering innovation and growth.

• Strategic move to broaden technology portfolio, accelerate value delivery, and drive innovation for customers and shareholders.

Financial terms and conditions

• All-cash purchase price of $2.6 billion, with a $225 million tax benefit, resulting in an effective consideration of $2.375 billion.

• Transaction represents a 16x next-12-months EBITDA multiple.

• Target expected to deliver $650 million revenue and $145 million EBITDA over the next 12 months.

• Combination expected to be neutral to Adjusted EPS and Free Cash Flow in fiscal 2027, accretive in fiscal 2028.

• Financing includes $1.3 billion in new debt, use of existing revolving credit facility, and committed bridge facility.

Synergies and expected cost savings

• No cost synergies assumed in the first two years, but administrative and revenue synergies are anticipated from scaling agentic AI and multi-INT solutions.

• Combines space-based sensors with existing land, air, and sea sensors for all-domain coverage.

• Integrates GEOINT and SIGINT production for actionable multi-INT intelligence.

• Conservative assumptions made for both cost and revenue synergies, with potential for upside.