Kratos develops and builds fixed-site satellite antennas. Credit: Kratos

WASHINGTON — Kratos Defense & Security Solutions announced June 16 it will acquire satellite antenna manufacturer ASC Signal from Communications & Power Industries for $35 million in cash.

CPI had to sell off its subsidiary ASC Signal as part of an agreement with the U.S. Department of Justice to allow CPI to acquire General Dynamics SATCOM Technologies

DOJ said the divestiture was necessary to preserve competition for large satellite ground station antennas for geostationary satellites in the United States. CPI and General Dynamics SATCOM Technologies are two of only a few U.S. firms that design, manufacture and sell large geostationary satellite antennas.

DOJ’s antitrust division said the sale of ASC Signal ensures that the Department of Defense and other purchasers of large geostationary satellite antennas continue to benefit from competition in the market.

Kratos said its acquisition of ASC Signal is expected to close within the next 60 days, subject to regulatory approvals.

Kratos is a longtime supplier of transportable and fixed earth station antennas for military and commercial satellites. The company said in a statement it is “well positioned to meet the current and future needs of the combined Kratos and ASC customer base.”

Phil Carrai, president of Kratos’ Space, Training and Cybersecurity Division, said the ASC Signal antennas will help expand the company’s business, especially in the U.S. government and national security sectors.

Sandra Erwin writes about military space programs, policy, technology and the industry that supports this sector. She has covered the military, the Pentagon, Congress and the defense industry for nearly two decades as editor of NDIA’s National Defense...