BAE Systems has secured the regulatory clearances needed to acquire Ball’s (NYSE: BALL) aerospace business and is set to implement measures to close the transaction in the coming days.
In August, BAE agreed to buy Ball Aerospace for approximately $5.55 billion as part of the British defense contractor’s efforts to accelerate its space market strategy and expand its technology offerings for the U.S. government.
Upon the deal’s closing, the newly purchased business will operate as Space and Mission Systems as part of BAE’s Electronic Systems reporting segment, the company said Wednesday.
“In recent years, we’ve said that we would seek out opportunities to grow our portfolio in advanced technology areas that meet our customers’ most urgent needs, and completing the acquisition of Ball Aerospace is an example of that strategy in action,” said BAE Systems CEO Charles Woodburn.
“The addition of this quality, fast-growing technology-focused business will significantly expand our presence in this increasingly critical space domain and further enhances our value compounding model of top line growth, margin expansion and high cash generation,” Woodburn added.
Colorado-based Ball Aerospace has over 5,200 employees focused on developing spacecraft, optical and antenna systems and mission payloads and maintains client relationships across the U.S. Department of Defense, Intelligence Community and civilian space market.
