Home / M&A Activity / McAleese & Associates: L3, Harris to Spend 4% of Combined Sales on Independent R&D

McAleese & Associates: L3, Harris to Spend 4% of Combined Sales on Independent R&D

Jim McAleese

A McAleese & Associates report says the merged company of L3 Technologies (NYSE: LLL) and Harris (NYSE: HRS) would invest 4 percent of $18B combined revenue in independent research-and-development efforts.

Defense News reported Monday that focus areas of the proposed IRAD investment are actionable intelligence, spectrum superiority and warfighter effectiveness.

Jim McAleese, founder and principal at McAleese & Associates and a 2019 Wash100 winner, noted Harris and L3 plan to divest a significant portion of lower value operations within the first six months after the merger’s completion.

The two companies also have agreed to firewalls on the U.S. Navy’s Next Generation Jammer Increment II program and expect to complete the merger by the end of June, McAleese noted.

L3 and Harris agreed to merge through an all-stock transaction in October to establish a global defense technology firm that will operate as L3 Harris Technologies.

Check Also

Former GovernmentCIO Exec Aaron Betz Joins ARServices as Business Dev’t VP

Aaron Betz, former vice president of business development at GovernmentCIO, has assumed the same role at information technology consultancy ARServices. He brings 33 years of government and industry experience in the management and business development areas.

Eric Peterson Named IBA Federal IT Services VP in Series of Exec Moves

Eric Peterson, a veteran business development leader, has joined Irving Burton Associates as vice president of federal information technology services.