Raytheon, Vista In Talks Over Cyber JV Forcepoint; Thomas Kennedy Quoted

Jeff Brody
Thomas Kennedy

Raytheon (NYSE: RTN) and Vista Equity Partners are in discussions over the value of Forcepoint, a joint cybersecurity venture the companies formed in 2015, Inside Defense reported Thursday.

Toby O'Brien, chief financial officer of Raytheon, said Vista is negotiating the value of the joint venture as it exercises an option in an agreement that directs Raytheon to buy the former's share of Forcepoint.

"Soon, we'll own 100% of Forcepoint, and our plans have not changed," Thomas Kennedy, CEO of Raytheon and a 2019 Wash100 winner, said during a call with analysts. "It all remains in play in terms of monetizing the asset."

Negotiations over Forcepoint come as Raytheon and United Technologies Corp. (NYSE: UTX) advance their merger in an all-stock transaction, which is expected to close in the first half of 2020.

Forcepoint recorded $167M in sales during the third quarter of 2019 and $14M in Q3 2019 profit.

You may also be interested in...

Naval Strike Missile

State Dept Clears $300M Sale of Raytheon Technologies-Made Naval Missiles to Romania

The State Department approved Romania's request to buy anti-ship missile systems manufactured by Raytheon Technologies (NYSE: RTX) through a potential $300M foreign military sale transaction with the U.S. government. The company's missiles and defense business would deliver two units of the Naval Strike Missile Coastal Defense System and complementary equipment to Romania's government under the potential deal, the Defense Security Cooperation Agency said Friday.

August Jackson Senior Director Deltek

ArchIntel’s AI in Competitive Intelligence Virtual Event to Discuss Maintaining Competitive Advantage

Artificial intelligence (AI), machine learning (ML) and big data have transformed how businesses conduct competitive intelligence (CI) and how our stakeholders use the developed analyses. Additionally, the federal government has integrated emerging technologies to remain competitive across the defense landscape. To register for ArchIntel’s AI in Competitive Intelligence Virtual Event, as well as view upcoming opportunities, visit ArchIntel’s Event Page.