Officials of Telos Corp., which have offices in Salt Lake City and Woods Cross, said the company's previously announced $65 million merger into Contel Federal Systems, a unit of telecommunications concern Contel Corp., has been completed.
Telos shareholders, at a special meeting, agreed to the deal, which calls for them to receive $15.50 a share in cash. Under the companies' merger agreement, options to buy Telos stock are canceled and will be paid as the difference between the cash price and the option exercise price.Telos is best known for providing design, development and support on software and hardware used in the space program at the Jet Propulsion Laboratory in Pasadena, Calif.
The company, which employs 1,800 workers, provides services mainly to federal government agencies.
The deal was first announced last October. Contel, of Atlanta, said the Telos acquisition will enhance its software engineering capabilities and give it a competitive advantage with government customers.
For the nine months ended Dec. 31, Telos earned $1.1 million, or 27 cents a share, off from $2.3 million, or 58 cents a share, earned in the same period last year. The company incurred merger-related expenses of $456,000 in the most recent period.