Capstone Headwaters, now Capstone Partners, a leading middle market investment banking firm, advised Sensor Concepts Inc. (SCI, The Company), a provider of radar cross section measurement technology, products and related services, on its sale to Raptor Scientific (Raptor), a portfolio company of L Squared Capital Partners (L Squared).
SCI was founded in 1996 to provide expertise in radar cross-section measurements with emphasis on radar systems, data reduction and analysis, algorithm development and field measurements. It develops highly capable and portable integrated measurement systems, utilizing radar technology, to measure and to help maintain the radar signature of the customer’s assets.
From our first meeting several years ago through close a few weeks ago, Capstone’s pedigree and thorough knowledge of the M&A landscape was present. The entire Capstone team made a tremendous effort to understand the uniqueness of SCI and provide the appropriate guidance and advice that directly attributed to maximizing the value of the acquisition. This transaction was not simple nor easy, but the team never wavered through the seemingly endless negotiations, always with a simple goal of doing what is right for SCI. We definitely had the Capstone heavyweights going to battle for us. A huge thank you to the team for their tireless efforts throughout the entire process.
David Brinkley, Managing Director at Capstone said “It has been a privilege to represent the entire SCI organization in this transaction. For more than two decades, SCI consistently pushed the envelope on radio frequency and associated radar technologies critical to our national defense, establishing a unique center of excellence based on a broad portfolio of intellectual property. In the process, SCI assures mission success and crew survivability in the context of the most sensitive government programs. We look forward to the acceleration of the business backed by its new ownership.” Ted Polk, Managing Director at Capstone added “SCI epitomizes teamwork in everything they do, and it was a privilege to be a part of their team for this transaction. The Company operates in an environment where the details really matter and their consistent commitment to excellence and resulting support of our nation’s warfighters is inspiring.”
“The Sensor Concepts team has built deep customer relationships by providing world class precision measurement solutions used in mission-critical stealth applications by the U.S. Military and National Security organizations,” said Sean Barrette, Partner of L Squared. “L Squared’s long term capital base and execution of our M&A strategy will allow Raptor Scientific to assemble a growing portfolio of precision testing and measurement products and solutions that will add more value to the Company’s customer base over time.”
About Raptor Scientific
Raptor Scientific was founded in 2019 by L Squared Capital Partners to consolidate the highly fragmented Aerospace & Defense testing and measurement market. The Company’s platform business units include Space Electronics and Sensor Concepts. For more information, please visit the website: www.raptor-scientific.com.
About L Squared Capital Partners
L Squared Capital Partners is an investment firm with offices in Newport Beach, CA, and Chicago, IL, that seeks to make long-term investments in leading growth companies that operate in targeted sectors: Tech-Enabled Services & Software, Industrial Technology & Services, and Education Technology. Our unique investor base of family offices enables us to focus on long-term value creation driven by revenue and earnings growth, not financial engineering or market timing. The principals of L Squared have worked together for over a decade and have over 60 years of combined experience investing in growing private companies. For additional information, please visit www.lsquaredcap.com.