Gladstone Investment and Proteus Enterprises have signed a definitive agreement to acquire Michigan-based engineering services and systems integration provider Ricardo Defense.
The transaction is expected to close by the end of 2024, Gladstone Investment said Thursday.
The companies did not disclose additional details about the sale, but Gladstone Investment will provide equity and senior secured debt for the acquisition, which will add Ricardo Defense to its growing portfolio of businesses.
“We are thrilled to be adding another quality portfolio company to Gladstone Investment’s assets through this acquisition, as we expect it to produce both income for dividends to shareholders and longer-term capital appreciation for capital gains,” commented David Dullum, president of the McLean, Virginia-headquartered publicly traded business development firm.
Christopher Lee, senior managing director of Gladstone Investment, added that his company will work with Proteus and Ricardo Defense President Chet Gryczan to continue delivering innovative solutions to customers.
Get to Know Ricardo Defense
Ricardo Defense primarily supports components of the Department of Defense in addressing challenges in managing and maintaining military fleets.
In 2023, the company secured a $385.6 million contract modification from the U.S. Army to supply anti-lock braking and electronic stability control system retrofit kits for the High Mobility Multipurpose Wheeled Vehicles.
In 2022, the Army Contracting Command named the engineering services company one of the awardees on a $910 million hybrid contract to provide repair and overhaul support.
Gladstone Investment Expands Capability Offerings
The proposed acquisition of Ricardo Defense comes a month after the investment firm completed its purchase of Pyrotek Special Effects. Pyrotek creates special effects and creative and technical designs for live entertainment worldwide.
