BETHESDA, Md. – Lockheed Martin corp. and Loral Corp. announced an agreement on a series of interrelated strategic transactions with an estimated value exceeding $10 billion.
Under the agreement, Lockheed Martin will acquire Loral’s defense electroincs and system integration business for about $9.1 billion. Of the total, $7 billion will be paid directly to Loral shareholders by Lockheed Martin. The companies said Loral shareholders also will receive for each share, one share of the company that will own Loral’s present satellite and telecommunications interest, including Globalstar and Space Systems/Loral.
Lockheed Martin will invest an additional $344 million for a 20 percent equity position in Loral Space, Loral’s space and telecommunications operations, and will provide the company with support in key technologies.
