Lockheed Martin [LMT] on Tuesday said China has favorably completed is regulatory review of the company’s pending acquisition of Sikorsky Aircraft from United Technologies Corp. [UTX], paving the way for the deal to close this Friday.
“With this final regulatory approval, we are one step closer to completing this historic acquisition,” Marillyn Hewson, chairman, president and CEO of Lockheed Martin, said in a statement.
Lockheed Martin said that once the deal closes, having Sikorsky in its portfolio will advance the company’s “commitment to provide its customers with mission ready solutions that are affordable and efficient, while expanding its core business into the growing areas of helicopter production and sustainment.”
Lockheed Martin in July agreed to acquire Sikorsky for $9 billion, a deal that includes about $1.9 billion in tax synergies. As it prepares to digest Sikorsky, Lockheed Martin is also in the process of trying to divest its government IT and technical services business, saying the government contracting environment for this work has become very price sensitive and more competitive.
The government IT and technical services business accounts for about $6 billion in annual sales.