Micronetics Purchased by Mass. Firm

Mercury Computer Systems, Inc., a provider of commercially developed application-ready ISR and EW subsystems for defense prime contractors, completed the acquisition of Micronetics, a Hudson-based designer and manufacturer of microwave and radio frequency (RF) subsystems and components for defense and commercial customers. The
closing follows the satisfaction of all conditions to the closing of the transaction, including approval of the transaction by Micronetics' stockholders. Micronetics' common stock has ceased trading on the NASDAQ Capital Market.

Pursuant to the terms of the merger agreement, Mercury acquired Micronetics for $14.80 per share. This represented a fully diluted equity value of $71.7 million and an  enterprise value of $74.9 million, including $3.2 million of net debt as of the closing date. As previously announced, the transaction was funded with available cash.

"We're extremely pleased that the Micronetics transaction was completed on schedule; the next step is executing a seamless integration," said Mark Aslett, president and CEO of Mercury. "The acquisition is directly aligned with our strategy of expanding our capabilities, services and offerings along the sensor processing chain. Micronetics has built a
great business and delivered solid value for their shareholders and now we look forward to taking it to the next level."