FOR IMMEDIATE RELEASE
Altus Capital Partners Sells Gichner Holdings, Inc. to Kratos in $133 Million
Transaction after Implementation of 2 1/2-Year Growth Strategy
Westport, CT, May 20, 2010 – Altus Capital Partners, Inc. (“Altus”), a leading private equity
investment firm focused on niche middle market manufacturing companies, today announced
that it has sold Gichner Holdings, Inc. (“Gichner”), a leader in the design, engineering and
manufacturing of tactical and other shelters for the U.S. military, its allies and leading defense
prime contractors, to Kratos Defense & Security Solutions, Inc. (“Kratos”) (NASDAQ: KTOS) for
$133 million in cash. The transaction closed yesterday.
Altus acquired Gichner, based in Dallastown, PA, in August 2007 in a partnership with Gichner
management and other investors. During Altus’s ownership, Gichner developed and
implemented an integrated strategic plan that grew the business both organically and through
an important strategic acquisition. Gichner revenues grew dramatically during Altus’s
ownership from $48.6 million in 2007 to $147.1 million for the twelve months ended December
31, 2009. EBITDA also increased from $4.7 million for 2007 to $16.9 million for the twelve
months ended December 31, 2009. Altus engaged Jefferies & Company, Inc. to seek strategic
options and Jefferies identified Kratos as an acquirer that had an appreciation of the Gichner
business as well as the ability to continue the growth of Gichner.
Thomas E. Mills IV, Gichner’s President and CEO, said that having Altus as a partner was a
critical element in Gichner’s development. “The Altus team provided strategic direction and
access to resources at an important time, allowing us to accelerate our growth,” he said.
“Joining the Kratos family is a natural evolution in our 43-year history and gives us critical mass
in customers, products and development capabilities going forward.”
Russell J. Greenberg, Altus’s Managing Partner, said, “Gichner was an exceptional