Year in review
Pacstar acquisition
In November, the Company closed on the largest transaction in our history, as we completed the acquisition of Pacific Star Communications, Inc. (PacStar®) for $400 million in cash. PacStar is a leading provider of secure tactical communications solutions for battlefield network management, including commercial off-the-shelf (COTS)-based rugged , small form factor communications systems, and its proprietary “IQ-Core® Software” integrated network communications management software (both of which are displayed here).
The acquisition established Curtiss-Wright as a critical supplier of advanced tactical and enterprise network communications solutions supporting a broad spectrum of high-priority U.S. military force modernization programs. The combination of Curtiss-Wright’s mission-critical mobile and secure COTS-based processing, data management and communications technologies with PacStar’s highly complementary hardware and software solutions will enable the delivery of best-in-class platform network integration and tactical data link network management to the warfighter. In addition, it ensures that the Company is well-positioned to benefit from the military’s continued investment in the net-centric connected battlefield, as well as robust, secure and integrated network modernization.
Connected
Battlefield
Naval Contracts
In July, we were awarded contracts valued in excess of $220 million to provide propulsion valves, pumps and advanced instrumentation and control systems for the U.S. Navy’s Virginia-class nuclear powered attack submarine, Columbia-class submarine and Ford-class aircraft carrier programs. These contracts built upon our long-standing relationship with the U.S. Nuclear Navy and helped solidify our ongoing support of these critical naval defense platforms, which continue to receive strong bipartisan support.
Contracts
dyna-flo acquisition
In February, the Company acquired the stock of Dyna-Flo Control Valve Services Ltd. (Dyna-Flo) for $62 million in cash. Dyna-Flo is a leading supplier of control valves, actuators and pressure control systems to the process control industry. The acquisition of Dyna-Flo yields significant opportunities for growth by increasing the breadth of our industrial valve portfolio with complementary products recognized for their critical performance in severe service environments. Further, the combination of this business with Curtiss-Wright’s established global sales channel and marketing capabilities serving similar customers will ensure that we remain a leading provider of pressure relief, control and isolation valve solutions.
active share repurchase program
The Company completed $200 million in share repurchases in 2020, $150 million of which was repurchased opportunistically, as we bought back approximately 2.0 million shares of our common stock and reduced our shares outstanding by 2.5%. In October, our Board of Directors authorized a new $200 million share repurchase program, under which the Company expects to repurchase at least $50 million in stock during 2021.
repurchases
Debt Offering
In August, the Company successfully completed a private placement debt offering of $300 million for long-term senior notes. We secured very attractive rates in a historically low interest rate environment, leveraging our healthy balance sheet and strong free cash flow generation to further support our capital allocation strategy.