Thomas Kennedy, chairman and CEO of Raytheon (NYSE: RTN), told Defense News in an interview published Tuesday about the features of the proposed merger between Raytheon and United Technologies Corp. (NYSE: UTX) and one of the things he mentioned is how the deal makes the future combined firm more resilient.
“I would say the resilient part was more of a feature of the deal that came as we brought it together. These are approximate numbers that change year to year, but about 50 percent of the business will be domestic, 50 percent international, 50 percent defense, and 50 percent commercial. So just from the optics, if you step back and you look at that, that essentially makes both companies more resilient relative to their markets,” said Kennedy, a 2019 Wash100 winner.
Raytheon and UTC agreed on an all-stock merger to form a platform-agnostic technology provider – Raytheon Technologies – within aerospace and defense segments.
In addition to the resiliency feature, Kennedy said both companies are both platform-agnostic and complementary in several areas. He also cited how UTC’s material science and heat management capabilities could benefit Raytheon’s work on hypersonic missiles, guidance and control systems.