Versar, Inc. Closes Acquisition of Johnson Controls Security Systems


SPRINGFIELD, Va. – Versar, Inc. (NYSE MKT: VSR) announced today that it has completed the acquisition of Johnson Controls' specialized federal security integration business, formerly known as Johnson Controls Security Systems (JCSS). JCSS is a security systems integrator serving Federal clients by designing, installing and supporting complex physical security, network security, and facilities management systems. The purchase price of $20 million was paid with a combination of cash and contingent consideration. Further, Versar has put in place a new banking relationship with Bank of America to support both the acquisition and ongoing working capital needs.



JCSS, which will now be known as Versar Security Systems, is headquartered in Gaithersburg, Maryland, generated approximately $34 million in trailing twelve month revenues from key long term customers such as the Federal Aviation Administration and the Federal Emergency Management Agency. The acquisition also brings a significantly funded backlog and is expected to be accretive immediately.



Tony Otten, CEO of Versar, said, "JCSS is an exciting and important acquisition for us as it expands our service offerings to include higher margin classified construction, enabling us to generate more work with existing clients and positioning us to more productively compete for new opportunities. A key element of our growth strategy is our focus on adding complementary capabilities to our already robust portfolio of service offerings with the goal of strengthening our visibility in the marketplace and increasing our ability to provide a broad range of customized solutions in virtually any location or environment."



VERSAR, INC., headquartered in Springfield, Virginia, is a publicly-traded global project management company providing sustainable value oriented solutions to government and commercial clients in the construction management, environmental services, munitions response, and professional services market areas.

 

VERSAR operates the following websites: www.versar.com and www.versarpps.com.



Contact:

David Gray

Director of Financial Reporting

Versar, Inc.

(703) 642-6888

dgray@versar.com



John Nesbett or Jennifer Belodeau

Institutional Marketing Services (IMS)

(203) 972-9200

jnesbett@institutionalms.com



SOURCE Versar, Inc.



Web Site: http://www.versar.com

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