December 9, 2020 | International, C4ISR, Security
WASHINGTON — Northrop Grumman has struck a $3.4 billion deal to sell its federal IT and mission support business to Veritas Capital.
The agreement, announced Dec. 7, is expected to close by June 2021. At that point, Veritas plans to incorporate the Northrop business units with Peraton, a Veritas subsidiary that supports government customers and specializes in technology products for the space, defense and intelligence markets.
Northrop is expected to generate $2.3 billion in revenue, which will be funneled into share repurchases and debt retirement, the company said in a news release.
“This divesture allows us to drive value and reflects our strategy of focus on growing core businesses where technology and innovation are the key differentiators,” said Kathy Warden, Northrop's CEO and president. “We expect to create compelling value to our shareholders through this transaction and execution of our capital allocation strategy.”
Reports of the sale first surfaced in October.
Byron Callan, an analyst with Capital Alpha Partners, said that the sale shows there is still isn't consensus within the defense industry on how to organize IT and services businesses alongside more traditional hardware business units for products like aircraft, vehicles or other weapons.
Callan pointed to Lockheed Martin's sale of its information and global services business to Leidos in 2016; L-3′s sale of its IT solutions division to CACI in 2015; and Harris' sale of its IT business to Veritas in 2017, which later became Peraton. However, other major companies have acquired government IT companies, such as General Dynamics's purchase of CSRA in 2018.
“We have believed that as DoD spending flattens in the 2020s, primes could seek to jettison ‘non-core' businesses that will still be profitable, but face declining sales or more intense competition,” Callan wrote in an email to investors.
https://www.c4isrnet.com/industry/2020/12/08/northrop-sells-it-business-to-veritas-capital-for-34b/
March 20, 2024 | International, Land
Media are invited to a virtual briefing by senior government officials with the Department of National Defence and the Canadian Armed Forces (DND/CAF) regarding An Act to Amend the National Defence Act and Other Acts. The briefing will be not for attribution and not for broadcast.
July 4, 2023 | International, C4ISR
The mergers and acquisitions are taking place as Sweden seeks NATO membership, and neighboring Finland this year joined the alliance.
March 15, 2019 | International, Aerospace
DEBORAH LOYE La jeune pousse française est incubée chez InnoGEX , une structure publique labellisée CERN. Elle dévoilera son produit lors du prochain Salon du Bourget. Ingénieur chez Airbus, Arnaud Violland fait le constat d'une grosse disparité entre la sécurité dans l'aviation commerciale et l'aviation générale. « Cette dernière, qui inclut les hélicoptères ainsi que tous les aéronefs pilotés par un seul pilote, était beaucoup moins bien servie », raconte l'entrepreneur. Fin 2016, il décide de créer une start-up, qui aurait pour mission de pallier cet écart. Deux ans plus tard, Safetyn emploie 10 personnes, dont ses quatre cofondateurs. Réagir au stress La jeune pousse se concentre sur l'aspect psychologique de la gestion des urgences par des pilotes seuls dans leurs cockpits. « Nous musclons cognitivement les pilotes pour qu'ils deviennent de vrais bons gestionnaires de risque », explique le cofondateur et PDG de l'entreprise. Concrètement, Safetyn développe une « box intelligente »qui se place dans le cockpit et propose une assistance au pilotage en situation de danger. Cette dernière prend en compte les paramètres psychologiques du pilote, de sorte à l'assister le plus efficacement. « Nous ne répondons pas tous au stress de la même manière, il est donc important de proposer des solutions personnalisées », explique Arnaud Violland. Le pilote peut en outre être mis en relation avec un assistant au sol, qui connaît lui aussi son profil, et peut l'aider en conséquence. « Cela permet de réduire le temps de résolution du problème », indique l'entrepreneur. Article complet: https://business.lesechos.fr/entrepreneurs/idees-de-business/0600558292284-safetyn-veut-ameliorer-la-securite-de-l-aviation-generale-327787.php