CCS Clears Proposed Merger of Analogic Corporation and Leidos, Inc

1. The Competition and Consumer Commission of Singapore ("CCS") has cleared the proposed merger of Analogic Corporation ("Analogic") and the Security Enterprise Solutions and Industrial and General Automation businesses ("SES/IA Business") of Leidos, Inc ("Leidos") (collectively, the "Parties") (the "Proposed Transaction").

2. The Parties are both active in the supply of explosive detection systems ("EDS") for checked baggage and cabin baggage, including after-market services. Checked baggage EDS are used at airports to screen baggage that passengers check in for storage in the aircraft hold, while cabin baggage EDS are used to screen carry-on baggage at airport security checkpoints.

3. CCS has concluded that the Proposed Transaction will not result in a substantial lessening of competition in the (i) global supply of checked baggage EDS and (ii) global supply of cabin baggage EDS, to customers in Singapore (the "Relevant Markets").

4. Following its assessment of the Parties' submissions and third parties' feedback, CCS concluded that the Relevant Markets are likely to remain competitive, given that:

a. The Parties will continue to face competition in Singapore from a number of established global EDS suppliers;

b. Existing and potential EDS suppliers can still expand or enter into the Relevant Markets respectively; and

c. The Parties will continue to face significant bargaining power from their sole airport customer in Singapore, which can choose among suppliers through competitive tender processes.

5. Please refer to CCS's public register↗(opens in new tab) for more information.