U.S. FTC delays vote on Lockheed purchase of Aerojet for two weeks -sources By Reuters



© Reuters.

By Mike Stone and Diane Bartz

WASHINGTON (Reuters) – The U.S. Federal Trade Commission, which assesses mergers to ensure they comply with antitrust law, has put off a vote on Lockheed Martin (NYSE:)’s purchase of Aerojet Rockdyne for as much as two weeks, two people briefed on the matter said.

The vote had initially been scheduled for midweek, one of the people said, adding that the extension would allow the FTC more time to evaluate terms for the merger.

The people spoke on condition of anonymity. A Lockheed Martin spokesperson declined to comment. The FTC did not immediately respond to a request for comment.

The deal has drawn criticism because it would give Lockheed – the No. 1 defense contractor – a dominant position over a vital piece of the U.S. missile industry. Rocket motors are used in everything from the homeland defensive missile shield to Stinger missiles. Missile maker Raytheon (NYSE:) has been an outspoken opponent of the proposed deal.

The $4.4 billion deal announced in late 2020 is Lockheed’s first large acquisition under new Chief Executive Jim Taiclet, and would reshape the competitive landscape for solid rocket fuel missiles which are used with jets and drones.

Aerojet develops and manufactures liquid and solid rocket propulsion, air-breathing hypersonic engines, and electric power and propulsion for space, defense, civil and commercial applications. Its customers include the Pentagon, NASA, Boeing (NYSE:), Lockheed Martin, Raytheon Technologies (NYSE:), and the United Launch Alliance.

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.



Source link