BAE to acquire Florida-based Armor Holdings

Manufacturing News, Source : TheManufacturer.com
Published : 09 May 2007 7:26

BAE Systems, Europe’s largest defence company, has agreed to acquire US defence company, Armor Holdings, for £2080 million.

BAE has been looking to expand in the US market where it has several lucrative contracts with the US government, and the move will strengthen its position as one of the world’s leading land systems players.

Headquartered in Jacksonville Florida, Armor Holdings is a major manufacturer of tactical wheeled vehicles and vehicles and individual armour systems, employing 8000 people in 63 locations through the US and internationally, including the UK.

The acquisition will be financed through a combination of placing of new ordinary shares in BAE Systems, and existing internal resource. The integration of Armor in BAE Systems’ Land and Armaments sector is expected to increase the company’s US sales by more than $3 billion.

Mike Turner, BAE Systems’ chief executive, said: “Armor Holdings is a strong business with an excellent track record and a highly regarded management team. The combination of Armor holdings with BAE systems’ existing land systems business will strengthen our capabilities to the benefit of the US and UK armed forces and their international allies.”

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