Investor Strategy

UTC, Raytheon deal wins U.S. antitrust approval, with divestitures

imageStock Markets1 hour ago (Mar 26, 2020 10:20PM ET)

(C) Reuters. A screen shows the logos and trading information for defense contractor Raytheon Co, and United Technologies Corp. on the floor at the NYSE in New York

WASHINGTON (Reuters) – The U.S. Justice Department has approved United Technologies Corporation (NYSE:UTX)’s planned merger with Raytheon (NYSE:RTN) Co, subject to conditions, the agency said on Thursday.

UTC agreed in June to combine its aerospace business with U.S. contractor Raytheon and create a new company worth about $121 billion, in what would be the sector’s biggest ever merger. It won EU antitrust approval earlier in March.

To win U.S. approval, the companies agreed to divest Raytheon’s military airborne radios business, including facilities in Indiana and Florida, and UTC’s military global positioning systems, including a facility in Connecticut.

The businesses are to be sold to BAE Systems (LON:BAES) Inc or another buyer approved by the Justice Department.

The companies are the only Defense Department suppliers for military airborne radios and military GPS systems for air and sea, the Justice Department said.

The Justice Department said that the two companies were among the few companies that made components for certain military satellites, including those that warn of missile launches. Because of this, the department also required the companies to sell UTC’s big space-based optical systems businesses.

UTC, Raytheon deal wins U.S. antitrust approval, with divestitures

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Most Popular

Your daily news source covering investing ideas, market stocks, business, retirement tips from Wall St. to Silicon Valley.

Disclaimer:

TheProficientInvestor.com, its managers, its employees, and assigns (collectively "The Company") do not make any guarantee or warranty about what is advertised above. Information provided by this website is for research purposes only and should not be considered as personalized financial advice.
The Company is not affiliated with, nor does it receive compensation from, any specific security. The Company is not registered or licensed by any governing body in any jurisdiction to give investing advice or provide investment recommendation. Any investments recommended here should be taken into consideration only after consulting with your investment advisor and after reviewing the prospectus or financial statements of the company.

Copyright © 2020 TheProficientInvestor. All Rights Reserved.

To Top