A PYMNTS Company

Senator Warren Questions Lockheed’s Concessions In Aerojet Deal

By  |  July 20, 2021

US Senator Elizabeth Warren has asked the Federal Trade Commission (FTC) to take a tougher look at defense industry mergers, questioning a proposal from Lockheed Martin that would allow it to buy the biggest independent maker of rocket motors, Aerojet Rocketdyne Holdings.

    Get the Full Story

    Complete the form to unlock this article and enjoy unlimited free access to all PYMNTS content — no additional logins required.

    yesSubscribe to our daily newsletter, PYMNTS Today.

    By completing this form, you agree to receive marketing communications from PYMNTS and to the sharing of your information with our sponsor, if applicable, in accordance with our Privacy Policy and Terms and Conditions.

    The Democratic senator, who has a keen interest in corporate behavior, asked the FTC to examine the premise and efficacy of internal firewalls like those Lockheed proposes to prevent it from gaining a competitive advantage over peers once the deal closes, according to a July 16 letter seen by Reuters.

    We’d love to be your preferred source for news.

    Please add us to your preferred sources list so our news, data and interviews show up in your feed. Thanks!

    Add as Preferred Source

    Lockheed Martin announced a US$4.4 billion agreement to buy Aerojet late last year, a deal that has raised eyebrows because it would give Lockheed – the No. 1 defense contractor – ownership of a vital piece of the US missile industry whose motors are used in everything from the homeland missile shield to Stinger missiles.

    Lockheed has stated after the deal closes “the Aerojet Rocketdyne business will continue to serve as a merchant supplier” to the entire defense industry, a premise that was met with skepticism by Raytheon, a major customer for rocket motors.

    Want more news? Subscribe to CPI’s free daily newsletter for more headlines and updates on antitrust developments around the world.