GeoEye, a premier provider of superior satellite and aerial-based geospatial information and services, announced today that it has agreed to purchase 100 percent of the stock of SPADAC Inc., a geospatial predictive analytics company, for $46 million in cash and stock. Upon the completion of the acquisition, SPADAC will become a wholly owned subsidiary named GeoEye Analytics. This acquisition will enhance the breadth of GeoEye’s information service offerings and expand its customer base into new markets.
SPADAC provides geospatial predictive analytic solutions to over 40 customers in key markets of defense, intelligence and homeland security. Since SPADAC’s formation in 2002, its industry-leading predictive analytics technology, combined with its world-class team of geospatial analysts and intelligence professionals, enables SPADAC to help customers gain the insight they need to support their mission-critical operations around the world.
Matt O’Connell, GeoEye’s president and chief executive officer, said, “GeoEye is pleased to welcome SPADAC’s highly skilled employees to our team. We have worked together since 2007, when GeoEye acquired a minority ownership interest in the company. We believe that, by combining our imagery collection capabilities with SPADAC’s location-based analytic solutions, we can help our customers gain unprecedented insight about the areas around the world in which they operate. We believe we will be the only company in the industry to provide this end-to-end capability.”
“SPADAC will continue to be a strong, trusted partner to its existing customers and will now be able to leverage GeoEye’s leadership and information service offerings such as EyeQ™,” said Mark Dumas, SPADAC’s chairman and chief executive officer. “GeoEye will also provide us with the financial resources to broaden our capabilities to better serve our existing and future clients.”
Brian O’Toole, GeoEye’s chief technology officer, added, “SPADAC is a strong strategic fit; their technology and services will enable us to accelerate our growth in information services. By combining SPADAC’s predictive analytic solutions with our EyeQ Web platform, we’ll be able to offer subscription-based access to a new class of advanced information services.”
SPADAC’s revenues are forecasted to be approximately $27 million in 2010. Timing and completion of the transaction are subject to customary closing conditions.
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