TTM Technologies agreed to acquire Epiq Solutions for $1.1 billion in cash, financed through debt, with closing expected in the fourth quarter of 2026 pending regulatory approval. The deal expands TTM's radio-frequency and digital signal-processing portfolio across defense applications including communications, radar, electronic warfare, missile defense, GPS and low-Earth-orbit space. Epiq is expected to generate about $160 million in 2027 revenue with mid-30% EBITDA margins.
TTM expects roughly $9 million in annual synergies, immediate adjusted EBITDA-margin accretion and non-GAAP EPS accretion in 2028, while projecting leverage will decline from about 2.3x at closing to 1.5x–1.7x within 12–18 months. 3 Under-the-Radar Tech Names Investors Might Have Missed TTM Technologies (NASDAQ:TTMI) said it has agreed to acquire Epiq Solutions in an all-cash transaction valued at $1.1 billion, expanding its radio-frequency and digital signal processing capabilities for aerospace, defense and communications applications. The company expects the transaction to close in the fourth quarter of 2026, subject to regulatory approvals and customary closing conditions. TTM said it will finance the acquisition through borrowings and has received commitment letters from JPMorgan, Bank of America and Barclays. → Applied Materials Beat Everything but Wall Street's Expectations for Margins 3 Stocks Poised to Benefit From Google's AI Breakthough President and Chief Executive Officer Edwin Roks described the deal as part of TTM's strategy to move "up the chain" into more integrated electronics and higher-value product solutions.
He said Epiq adds technology and products with little to no overlap with TTM's existing portfolio. Roks said the acquisition would enable TTM to serve the RF spectrum from 2 megahertz to 40 gigahertz, spanning components, modules, subsystems and systems. The combined capabilities are intended for applications including military and security communications, surveillance, radar, electronic warfare, low-Earth-orbit space, missile defense, and GPS positioning, navigation and timing. → Texas Roadhouse and Brinker International Have the Recipe Rivals Are Missing Top 3 Behind-the-Scenes Electronic Component Companies to Watch TTM has built RF capabilities through organic development and acquisitions including Anaren and Telephonics, Roks said.
Epiq's portfolio is particularly complementary in communications, GPS, LEO space and electronic-warfare applications, while TTM has existing strengths in areas such as radar and surveillance. "This transaction supports the growth strategy we have been executing against and moves TTM further up the chain," Roks said. → AirJoule Technologies: Short Squeeze Setup Amid Rising Risks During the question-and-answer session, management said Epiq's business is supported by more than 10 programs and several large defense-sector customers. Chief Financial Officer Dan Boehle identified Rivet Joint, the MQ-9 Reaper, other air-based and air-defense radar systems, and radome applications among Epiq's key programs.
Roks said Epiq's top 10 programs account for about 45% of its expected revenue. Its customer base includes companies such as L3Harris, BAE Systems, RTX and Rohde & Schwarz, according to management. Boehle said only one Epiq customer represents more than 10% of revenue.
TTM said Epiq is expected to generate approximately $160 million of revenue in 2027 and has EBITDA margins in the mid-30% range. Boehle corrected an earlier statement during the call, clarifying that the $160 million figure applies to 2027 rather than 2026. The acquired business is experiencing double-digit annual revenue growth, at a rate somewhat above TTM's current aerospace and defense growth rate, Boehle said.
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