Bundy & Company Sells Defense Contractor

EOIR Technologies is a major technology and services provider to the Department of Defense, including the U.S. Army Night Vision Laboratories. EOIR was founded
in 1981 and had revenues of $42.7 million in 2003.

Bundy & Company served as advisor and intermediary for the seller throughout the research, marketing, negotiation and due diligence phases of the sale. The satisfaction of both parties to the transaction is evident in their comments following the transaction:

“Bill Bundy is one of the most honest people I have ever worked with,” said Russ Moulton, president of EOIR Technologies. “He did everything necessary to ensure a successful sale, and we especially appreciated his
professionalism, candor and ability to follow through.”

Robert Tarini, chairman and chief executive officer of Markland Technologies, expressed his excitement about the acquisition and said “EOIR fits well in our homeland
security business plan and creates a significant established revenue stream for our company.”

The sale began to develop when Ken Kowalski, a Lynchburg-based financial consultant, discussed setting up an employee stock ownership plan with EOIR President Russ Moulton.

The sale of the company also was discussed as a viable possibility, and Bundy & Company was suggested as a potential broker for such a sale. Bill Bundy determined that EOIR was a highly desirable business and that the most interested party would probably be a strategic buyer, likely a company interested in immediate expansion that included a secure revenue stream.

Bundy began intense marketing directly to potential strategic buyers and private equity firms and created
a sense of urgency among them by not setting a specific price for EOIR. The research and marketing effort
led to setting the minimum sales criteria at $15 million, with the sale structured according to Mr. Moulton’s specifications.

Marketing was expanded to specific Web sites and other advertising media where more than 150 qualified inquiries were received. The marketing response stream resulted in 12 letters of intent and offers to buy. From that group, the best were selected and buyer-seller meetings arranged. Bill Bundy participated in all negotiations and integrated his efforts with EOIR’s other professional advisors to determine the most suitable offers. Ultimately the company sold for $19 million, exceeding the Seller’s price expectations.

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