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US: Norton Grumman in US$9.2b bid for missile maker

 |  September 18, 2017

US defense contractor Northrop Grumman said on Monday it would buy Orbital ATK (OA.N) for about US$9.2 billion, including assuming US1.4 billion in debt, getting access to lucrative government contracts and expanding its arsenal of missile defense systems and space rockets.

The comes as North Korea tests threatening missiles and nuclear weapons, heightening tensions with the United States and its allies.

“Clearly, as we watch what’s happening around our globe, the rather rapid advance of some of our potential adversaries is quite concerning,” Northrop Chief Executive Wes Bush said on a call with analysts.

Although Northrop already has a significant presence in payloads, it has not had launcher capability, an area that Orbital brings for both space and missile defense, Vertical Research Partners analyst Robert Stallard said on Monday, September 18.

Full Content: Financial Times

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