US: Northrop completes US$9b Orbital ATK acquisition

Falls Church-based Northrop Grumman received final regulatory approval Tuesday, June 5, for its acquisition of rocket maker Orbital ATK, creating a huge Northern Virginia contracting company with 80,000 employees worldwide.

The Federal Trade Commission signed off on the US$9.2 billion deal, which includes US$7.8 billion in cash and the assumption of US$1.4 billion in Orbital ATK debt. Northrop expecteds the acquisition to close after the stock markets close on Wednesday.

As a result, Northrop has raised its financial guidance for 2018 and now expects full-year revenue of about US$30 billion, about US$3 billion more than its most recent financial guidance in April.

Orbital ATK is now known as Northrop Grumman Innovation Systems, a new, fourth business sector for the company.

Orbital ATK itself is the result of the 2015 merger or Orbital Sciences Corp. and the aerospace and defense groups of Alliant Techsystems.
Full Content: Space News

Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.