KippsDeSanto & Co. advises Aethercomm, Inc. on its sale to Frontgrade Technologies, a portfolio company of Veritas Capital

KippsDeSanto & Co. advises Aethercomm, Inc. on its sale to Frontgrade Technologies, a portfolio company of Veritas Capital

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KippsDeSanto & Co. advises Aethercomm, Inc. on its sale to Frontgrade Technologies, a portfolio company of Veritas CapitalKippsDeSanto & Co. advises Aethercomm, Inc. on its sale to Frontgrade Technologies, a portfolio company of Veritas Capital

KippsDeSanto & Co. is pleased to announce the sale of its client, Aethercomm, Inc. (“Aethercomm”), to Frontgrade Technologies (“Frontgrade”), a portfolio company of Veritas Capital (“Veritas”).

Headquartered in Carlsbad, California, Aethercomm is a leader in the design, development, and manufacturing of RF amplifier modules, sub-systems / systems and transceivers for mission-critical defense and space-capable platforms and technologies . The company’s regular and rackmount RF amplifiers and switches are used by all branches of the Armed Forces and some of the world’s largest and most respected defense contractors. Aethercomm has a stellar track record of engineering and manufacturing RF power amplifier modules, sub-systems / systems, and transceivers and other technologies that are tested and proven to operate without fail on the battlefield and in extreme situations in support of the warfighter.

Founded in 1999, Aethercomm specializes in the engineering and manufacturing of high-power SSPA modules that support global cross-domain warfighter connectivity across space, airborne, radar, electronic warfare, and other applications. By combining Aethercomm’s active RF amplifiers, switches and hardware with Frontgrade’s existing antenna solutions, the company will now offer a complete, integrated and turnkey solutions for the most complex defense and space missions.

Aethercomm will operate as a division of Frontgrade and be rebranded as Frontgrade Aethercomm.

This transaction highlights several key trends in the defense and space electronics markets:

  • Responsive space continues to be a high priority for SDA and U.S. military infrastructure, with an emphasis on high-volume, low-cost satellites to support the Department of Defense (“DoD”) mission of Joint All Domain Command and Control (“JADC2”)
  • Emergence of “next-gen” agile defense primes delivering high-volume, modular systems to support defense and space missions creating demand for defense and space electronics subcontractors with high-volume manufacturing and best-in-class research and development capabilities supporting the electronic warfare, radar, and communication markets
  • Private equity activity in the market remains active as “buy-and-build” strategies continue to augment portfolio companies with add-on targets with strong customer reputations, industry-leading capabilities, and ability to augment performance on existing platforms and contracts

KippsDeSanto & Co. is an investment banking firm focused on serving growth-oriented Aerospace / Defense, Government Services and Technology companies. We are focused on delivering exceptional M&A and Financing transaction results to our clients via leveraging our scale, creativity and industry experience. We help market leaders realize their full strategic value. Having advised on 200 industry transactions since 2008, KippsDeSanto is recognized for our analytical rigor, market insight, and broad industry relationships. There’s no substitute for experience. For more information, visit www.kippsdesanto.com.

Securities and investment banking products and services are offered through KippsDeSanto & Co., a non-banking subsidiary of Capital One, N.A., a wholly owned subsidiary of Capital One Financial Corporation. KippsDeSanto is a member of FINRA and SIPC. Products or services are Not FDIC Insured, Not Bank Guaranteed, May Lose Value, Not a Deposit, and Not Insured By Any Federal Governmental Agency.