Globecomm To Explore ‘Strategic Alternatives’
Communications solutions provider Globecomm Systems said Jan. 14 it had retained the investment banking firm Needham & Co. to explore its “strategic alternatives to enhance shareholder value,” a move that often portends a company’s sale.
“There can be no assurance that this process will result in any transaction or any change in the Company’s overall structure or business model,” Globecomm of Hauppauge, N.Y., said in a press release.
Globecomm also said it had lowered its performance expectations for the fiscal year ending June 30, 2013. Revenue for the period is now expected to be between $320 million and $340 million, versus the previous projection of $340 million to $360 million, Globecomm said.
Earnings before interest, taxes, depreciation and amortization are now expected to be $40 million to $42 million, compared with $40 million to $44 million projected previously.
In a Jan. 28 press release, meanwhile, Globecomm said it was awarded an $8.8 million contract from NATO to upgrade a GPS-based force tracking system to boost its capacity and add new features.
The contract brings to $74.6 million the value of the company’s work on that program.