L3Harris to sell its commercial aviation solutions business for $800 million
Reuters
Published Nov 27, 2023 08:57AM ET
Updated Nov 27, 2023 09:09AM ET
(Reuters) - L3Harris Technologies (NYSE:LHX) is selling its commercial aviation solutions business to private equity firm TJC L.P. for $800 million, the defense company said on Monday.
The deal includes a $700 million cash purchase price and a $100 million earnout based on the achievement of certain financial performance targets for this year and 2024.
The commercial aviation solutions business of L3Harris offers pilot training, flight data analytics, avionics and advanced air mobility products and services and has around 1,450 employees.
"Aligned with our capital allocation priorities, we plan to use the proceeds from this transaction to repay debt, which will accelerate our timeline to reach our debt leverage objective," L3Harris said in a statement.
Morgan Stanley and Moelis (NYSE:MC) & Co were financial advisers to L3Harris, while J.P. Morgan Securities LLC advised TJC L.P.
The transaction is expected to close in the first half of 2024.
Get The News You Want
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.