L-3 Communications has taken over aviation contractor Vertex Aerospace for $650 million. Vertex, formerly Raytheon Aerospace, was bought by private equity group Veritas Capital in June 2001 for $270 million, after which Raytheon kept a 26.5% stake.
The sale will bring more government service contracts to L-3, which recently bought Bombardier's Military Aviation Services unit, responsible for maintenance and support of the Canadian Boeing CF-18 fleet. Around 90% of Vertex's revenue comes from maintenance and support contracts with various parts of the US government.
Source: Flight International
