CPI Acquires Power Amplifier maker MCL

Palo Alto, Calif., June 25, 2013 — CPI International, Inc. and its wholly owned subsidiary Communications & Power Industries LLC (CPI) have acquired MCL, Inc., a manufacturer of power amplifier products and systems for the satellite communications market and a wholly owned subsidiary of MITEQ, Inc.

CPI provides microwave, radio frequency (RF), power and control solutions for critical defense, communications, medical and other applications. MITEQ manufactures high-performance RF microwave components and satellite communications (satcom) products.

CPI acquired the assets of MCL for an undisclosed amount with cash.

CPI said the acquisition will be integrated into CPI’s Satcom Division. CPI will honor MCL’s current sales commitments, and will continue to operate MCL’s manufacturing facility in Bolingbrook, Ill until MCL’s backlog commitments are fulfilled.

CPI promised to address customers’ needs with products from its Satcom Division in Georgetown, Ontario, Canada and Palo Alto, Calif. CPI will also continue to support MCL’s installed base of products and customers worldwide.

It also pledged to maintain a service center for MCL products in the Chicago area and expects to retain MCL’s existing global network of authorized service providers. Several of MCL’s key managers and employees will transition into roles at CPI supporting MCL products.

Joe Caldarelli, chief executive officer of CPI, said CPI will continue to provide MCL’s customers with the excellent service and support. “MCL’s customers will have full access to, and benefit from, the global reach of CPI’s well-established sales and service network,” he said.

Excluding the impact of purchase accounting and non-recurring integration expenses, the acquisition is expected to be accretive for CPI in fiscal year 2014.

Communications & Power Industries LLC, headquartered in Palo Alto, California, is a subsidiary of CPI International Holding Corp. and CPI International, Inc. and a leading provider of microwave, radio frequency, power and control solutions for critical defense, communications, medical, scientific and other applications.