Earlier today, Microsemi Corp. (Nasdaq: MSCC) announced that it acquired a defense electronics and security business from our Buzz Stock of the Day — Endwave Corp. (Nasdaq: ENWV) — for $28 million in cash and the assumption of specified liabilities.

Endwave’s D&S group has developed many innovative, state of the art products and has won several contracts to supply these products on major systems projects with many current Microsemi customers such as Boeing, Cobham, L3, Lockheed Martin, Northrop Grumman, and Raytheon.

Shares of Endwave were up as much as 51 percent today on the news.

Later today, Endwave announced results for the first quarter.

Revenues were $12.0 million for the first quarter of 2009, compared with $14.2 million for the first quarter of 2008 and $9.8 million for the fourth quarter of 2008. Net loss, calculated in accordance with accounting principles generally accepted in the United States (GAAP), for the first quarter of 2009 was $3.7 million, or $0.39 per share, compared with net loss for the first quarter of 2008 of $1.9 million, or $0.21 per share, and net loss for the fourth quarter of 2008 of $11.1 million, or $1.19 per share.Non-GAAP net loss for the first quarter of 2009 was $1.6 million, or $0.17 per share, compared with non-GAAP net loss for the first quarter of 2008 of $603,000, or $0.07 per share, and non-GAAP net loss for the fourth quarter of 2008 of $3.0 million, or $0.32 per share.

“We reported two very positive events today,” said Ed Keible, Endwave’s CEO and President. “First, we were pleased to see our overall revenues expand, compared to Q4 2008, driven primarily by demand from our key telecom customer. Second, Microsemi Corporation acquired the assets of our non-telecom products business. The decision to divest our non-telecom operations was a difficult decision for us, as we believe that this business has great promise. However, Microsemi has the scale and funding needed to take this business to the next level, the price offered by Microsemi was one we determined to be in the best interests of our stockholders, and we believe this transaction may help clear the way for other strategic alternatives that may be available for our communication products business.”

Endwave, together with its subsidiaries, engages in the design, manufacture, and marketing of radio frequency (RF) modules that enable the transmission, reception, and processing of high frequency signals in telecommunication networks, defense electronics, homeland security systems, electronic instrumentation, and other applications that require high frequency RF circuitry and subsystems.

For the trailing-12-month period, Endwave earned $6.32 per share on revenue of $58.2 million. The company has about $40 million of cash in the bank, and a small float (9.12 million shares).