L3Harris Technologies Inc. announced on Sunday that the company has agreed to purchase Aerojet Rocketdyne Holdings Inc. for $4.7 billion.
L3Harris Technologies is known for manufacturing equipment for the Pentagon. The equipment that L3Harris provides includes military radios, air traffic control systems, and “top secret space hardware.” Aerojet, on the other hand, primarily develops engines used on missiles, NASA rockets, as well as working on hypersonic systems.
L3Harris’ decision to acquire Aerojet is in hopes that the deal will solidify L3harris’ spot as one of the six primary defense contractors for the Pentagon.
Aerojet has already gone through one failed acquisition recently as federal regulators blocked the sale of the company to Lockheed Martin Corp. for $4.4 billion back in January. Since then, the company was put back on the market to eventually be scooped up by L3Harris for $58 per share.
Source: Yahoo Finance