BAE Systems has completed the acquisition of Raytheon Technologies Corporation’s Airborne Tactical Radios (Airborne Radios) business, to extend BAE’s products and capabilities into the company’s extensive Electronic Systems portfolio, the company reported on Monday.
“The Airborne Radios business and its people are a great fit for BAE Systems. Together, we are excited about delivering game-changing electronic mission and control solutions to our collective customer base,” said Dave Logan, vice president and general manager of C4ISR Systems at BAE Systems. “We are proud to have this unique combination of people, products, and technologies as part of our BAE Systems family.”
With the acquisition of the Airborne Radios business designs, manufactures and supplies mission-critical communication systems, BAE will expand its offerings to the U.S. Department of Defense, allied governments and large defense aircraft manufacturers.
The Airborne Radios business has secure, battle-proven communications solutions installed on a broad range of military airborne platforms. The purchase will augment BAE Systems’ portfolio in airborne communications with broad-spectrum, multi-band, multi-channel radios that feature robust anti-jamming and encryption capabilities.
BAE Systems’ acquisition will also expand the company’s waveform expertise to the Electronic Systems Command, Control, Communications, Computers, Intelligence, Surveillance and Reconnaissance (C4ISR) Systems business.
“Moving forward, our focus will be on the successful integration of our businesses to maximize the value we offer to our customers,” said Jeff Jones, director of Airborne Radios. “We look forward to exchanging ideas and learning from each other to foster a culture of innovation that will further enhance our technologies and product offerings to support our shared commitment to the warfighter.”
The purchase will drive BAE Systems’ mission in its sustained commitment to the national security and defense of the U.S. and its allies. The company announced its intent to purchase Airborne Radios in Jan. 2020.
BAE Systems said that the company will purchase the military GPS business of UTC’s Collins Aerospace for $1.925 billion in cash and Raytheon’s airborne tactical radios business for $275 million in cash and will integrate the two units into its electronic systems sector upon the deal’s closure.
The asset purchase agreements include associated tax benefits of approximately $365M for the GPS business and about $50M for the ATR business, subject to the completion of the UTC-Raytheon deal and other customary closing conditions.
Jerry DeMuro, CEO of BAE Systems Inc. and a three-time Wash100 award winner, said the products of the two businesses will extend and complement BAE’s existing portfolio, build up its capabilities as a defense electronics and communications systems provider and further aligns the company with the modernization priorities of the U.S. military and its partners.
Collins Aerospace’s military GPS business is based in Cedar Rapids, Iowa, and provides M-code, anti-spoofing systems, anti-jamming technologies and other GPS receiver platforms. Raytheon’s Florida-based ATR business produces and supplies mission-critical communications platforms to the Pentagon, allied governments and defense aircraft makers.
About BAE Systems
A career at BAE Systems will ignite your passion to improve security, defend freedom and make the world a safer place. BAE Systems, Inc. is the U.S. subsidiary of BAE Systems plc, an international defense, aerospace and security company which delivers a full range of products and services for air, land and naval forces, as well as advanced electronics, security, information technology solutions and customer support services.