Facing a tightening defence budget, US aerospace giants are accelerating their move into the government information technology sector. Lockheed Martin has agreed to acquire The Sytex Group (TSGI), an IT services provider to the US Department of Defense (DoD), while Northrop Grumman is to buy privately held Integic.
Lockheed will pay a net $462 million for Doylestown, Pennsylvania-based TGSI, which had revenues last year of $425 million, 85% from the DoD and US intelligence community. Northrop has not revealed how much it will pay for Chantilly, Virginia-based Integic, a provider of enterprise health, human resources and business management solutions that generated revenues of $161 million last year.
* Montreal-based ExelTech has completed its merger with NordTech Aerospace of Quebec City to create Canada's largest publicly traded maintenance, repair and overhaul company, with revenues of more than C$40 million ($32 million).
* AAR has sold its $10 million-a-year engine component repair business to Chromalloy Gas Turbine. Under the deal, AAR will receive $7.7 million in cash and enter into a multi-year parts supply agreement with Chromalloy.
GRAHAM WARWICK / WASHINGTON DC
Source: Flight International
