A crowd that included Air Force leadership, congressional representatives and senators, executives and plant personnel from the Lockheed Martin Aeronautics Corporation attended a ceremony dedicating the delivery of the final F-22 Raptor in Marietta, Ga., May 2. (U.S. Air Force photo/Don Peek)
From Reuters News – Reporting by Mike Stone in Washington, D.C., Editing by Greg Roumeliotis
Dec 20 (Reuters) – Lockheed Martin Corp (NYSE: LMT) said on Sunday that it has agreed acquire U.S. rocket engine manufacturer Aerojet Rocketdyne Holdings Inc (NYSE: AJRD) for $4.4 billion, including debt and net cash.
The deal is Lockheed’s biggest acquisition since Jim Taiclet took over as chief executive in June. He is seeking to beef up the company’s propulsion capabilities amid competition from new entrants such as SpaceX and Blue Origin, for space contracts with the U.S. government.
“Acquiring Aerojet Rocketdyne will preserve and strengthen an essential component of the domestic defense industrial base and reduce costs for our customers and the American taxpayer,” Taiclet said in a statement.
Lockheed said it will pay $56 per share for Aerojet Rocketdyne, a 33 percent premium to Friday’s closing price. The purchase price will be reduced to $51 per share after the payment of a pre-closing special dividend, Lockheed added.
The Bethesda, Maryland-based company already uses Aerojet Rocketdyne’s propulsion systems in its aeronautics, missiles and fire control offerings.
Lockheed said the transaction, which is set to be scrutinized by regulators given the company’s leading position in the defense sector, is expected to close in the second half of 2021.
A crowd that included Air Force leadership, congressional representatives and senators, executives and plant personnel from the Lockheed Martin Aeronautics Corporation attended a ceremony dedicating the delivery of the final F-22 Raptor in Marietta, Ga., May 2. (U.S. Air Force photo/Don Peek)
Boeing [NYSE: BA] is teaming with General Atomics Electromagnetic Systems and Aerojet Rocketdyne [NYSE: AJRD] in its bid to build the Next Generation Interceptor (NGI) for the U.S. Missile Defense Agency (MDA). The NGI is a key element of the MDA’s missile defense system, which is designed to intercept and destroy incoming intercontinental ballistic missiles.
“The Boeing-led team will deliver critical technology to enhance our homeland missile defense,” said Norm Tew, Boeing Missile and Weapon Systems vice president and general manager, and Huntsville site senior executive. “Combined, we bring decades of expertise in proven missile and weapon systems.”
On Aug. 12, the Boeing-General Atomics-Aerojet Rocketdyne team submitted an NGI offering that will improve performance and enhance the nation’s ability to defend against future threats.
GA-EMS has a long history of delivering missile technology and complex systems for critical national defense programs. “This partnership combines our legacies in innovation, bringing together new ideas to create an affordable and reliable solution to defend against emerging threats,” said Scott Forney, president of GA-EMS.
Aerojet Rocketdyne’s propulsion systems have powered the nation’s missile defense for decades. “As the country’s premier hit-to-kill propulsion provider, we’re able to deliver low-cost, high-performance systems by leveraging our skilled workforce and strategic investments in innovative technology and materials,” said Eileen Drake, Aerojet Rocketdyne CEO and president.
Northrop Grumman will serve as a component supplier on the Boeing-led team.
CAPE CANAVERAL, Fla., March 26, 2020 (GLOBE NEWSWIRE) — The successful March 26 launch of the U.S. Space Force’s sixth and final Advanced Extremely High Frequency (AEHF) military communications satellite aboard a United Launch Alliance (ULA) Atlas V rocket marked the 500th flight of Aerojet Rocketdyne’s RL10 upper-stage engine.
The RL10, which powers the ULA Atlas V Centaur upper stage, is one of several Aerojet Rocketdyne propulsion products supporting the mission. Aerojet Rocketdyne propulsion can be found on both the rocket and the AEHF-6 satellite. Built by Lockheed Martin, the AEHF satellites provide secure, jam-proof communications, including nuclear command and control, to U.S. and allied forces.
“This launch marks an important milestone for Aerojet Rocketdyne and for the country,” said Eileen Drake, Aerojet Rocketdyne’s CEO and president. “The RL10 has supported a majority of the nation’s most important national security and scientific missions, including all of the AEHF satellites which provide communication links that are critical to our warfighters.”
The Atlas V in the 551 configuration is the most powerful vehicle in the Atlas V family, featuring five Aerojet Rocketdyne AJ-60A solid rocket strap-on motors, each generating 348,500 pounds of thrust. Designed specifically to provide extra lifting power to the Atlas V, the AJ-60A is the world’s largest monolithic solid rocket motor ever flown.
The AEHF-6 satellite, meanwhile, is outfitted with three different types of Aerojet Rocketdyne thrusters for attitude control, orbital station keeping and maneuvering. These include 12 MR-103G and six MR-106E monopropellant thrusters; and four, 5-kilowatt-class XR-5 Hall-effect electric thrusters and associated power processing systems.
The Atlas V also uses Aerojet Rocketdyne reaction control thrusters on the Centaur upper stage, as well as pressure vessels provided by ARDÉ, an Aerojet Rocketdyne subsidiary. The rocket launched from Cape Canaveral Air Force Station, Florida, and the AEHF-6 satellite is on its way to its operating location in geostationary orbit.
In addition to the Atlas V, the RL10 also powers the upper stage of ULA’s Delta IV Heavy rocket. The RL10 has helped place hundreds of military, civil and commercial satellites into Earth orbit and has sent spacecraft to explore every planet in our solar system. The RL10’s proven reliability over more than five decades of service has made it the upper-stage engine of choice for three new rockets under development, including ULA’s Vulcan Centaur, Northrop Grumman’s OmegA, and NASA’s Space Launch System.
About Aerojet Rocketdyne: Aerojet Rocketdyne, a subsidiary of Aerojet Rocketdyne Holdings, Inc. (AJRD), is a world-recognized aerospace and defense leader that provides propulsion systems and energetics to the space, missile defense and strategic systems, and tactical systems areas, in support of domestic and international customers.
Shares of rocket maker Aerojet Rocketdyne Holdings Inc. rose 21.6 percent on Tuesday following the release of quarterly earnings for the defense contractor.
Aerojet’s (NYSE: AJRD) holding company is based in El Segundo, where it moved two years ago, but its main subsidiary is still based in Rancho Cordova, where the company has made and tested rockets since 1951.
