Amentum (AMTM, Financials) agreed to sell its hardware and product division, Rapid Solutions, to Lockheed Martin (LMT, Financials) for $360 million in cash, the companies announced Wednesday. The deal is expected to close in the second half of 2025, pending regulatory approvals and closing conditions.
The sale aligns with Amentum's strategy to sharpen its focus on mission-critical, technology-enabled services while also accelerating efforts to reduce debt. The divestiture is projected to yield about $325 million in after-tax proceeds.
Rapid Solutions manufactures intelligence, surveillance and reconnaissance (ISR) equipment, advanced communication tools, and tactical systems supporting U.S. national security missions. The unit accounts for around 1% of Amentum's annual revenue and adjusted earnings before interest, taxes, depreciation, and amortization. Roughly 230 employees are expected to join Lockheed Martin upon the transaction's completion.
The company said further details would be discussed during its second-quarter earnings call on May 7.
Lockheed Martin, one of the largest U.S. defense contractors, did not provide additional comment.
Amentum, headquartered in Chantilly, Virginia, operates in more than 80 countries with over 53,000 employees. The company provides engineering and technology solutions primarily for U.S. federal agencies and allied governments.
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