Motorola acquires Silvus for $4.4 billion, marking the second-largest merger in history and accelerating its layout in the tactical communications field

According to Zhitong Finance APP, Motorola Solutions (MSI.US) announced the acquisition of military communication equipment manufacturer Silvus Technologies for $4.4 billion, marking its second-largest merger and acquisition record in history. According to the transaction details disclosed on Tuesday, the non-wholly-owned radio company will receive $4.38 billion in cash and $20 million in restricted stock, with core employee shareholders also receiving additional equity incentives. If established performance targets are met in the next two years (2027-2028), Silvus shareholders could receive up to an additional $600 million in consideration.

The transaction is expected to be completed in the third or fourth quarter of this year, pending regulatory approval. Notably, private equity firm TJC (formerly Jordan Company), as the parent company of Silvus, initiated a strategic assessment in January of this year, including a feasibility study for an IPO, ultimately choosing to engage in exclusive negotiations with Motorola.

As a supplier of military-grade communication equipment, Silvus specializes in anti-jamming radios and tactical communication systems, with its products favored by military and law enforcement agencies for their stability in extreme battlefield environments. In the current context of frequent global geopolitical conflicts, the demand for such high-security communication equipment continues to rise, forming the core logic behind this acquisition.

For Motorola, this transaction continues its recent "small steps, quick runs" acquisition strategy. According to Bloomberg statistics, the company has completed nearly 40 acquisitions over the past decade, but only two transactions exceeded $1 billion. This acquisition is second only to the classic case of acquiring Arris Technology for $9.5 billion in 1999, marking its deepening layout in the field of government and enterprise security solutions.

This company, which evolved from the consumer electronics giant Motorola, has now transformed into a technology service provider in the public safety sector. Its product matrix includes firefighter-specific walkie-talkies, police body cameras, and emergency warning systems, forming a complete solution covering "hardware + software + services." In November last year, the company's chairman and CEO, Greg Brown, stated, "External acquisitions will become a key support for strategic growth."

The capital market has responded positively to this transaction. Over the past 12 months, Motorola's stock price has risen by 15%, with its latest market value firmly at the $70 billion level. If this acquisition proceeds smoothly, it will further strengthen its market position in the tactical communication field and inject new momentum into the global public safety digitalization process