Report: Sweden to Finalize Potential $3B Purchase of Raytheon's Patriot Missile Defense System

Sweden is close to finalizing a potential $3 billion purchase of Raytheon‘s (NYSE: RTN) Patriot missile defense system within the coming weeks, Reuters reported Wednesday.

Joakim Lewin, the Army Design Office head at the Swedish Materiel Administration, told the news agency that Sweden will seek the approval of the U.S. for the contract, which includes an option for the supply of up to 300 missiles.

Lewin added that the contract covers four firing units, parts, missiles and training.

The 2008 war between Russia and Georgia and the former’s annexation of Crimea in 2014 caused Sweden to reinvest in its armed forces, Reuters said. 15 countries in total have bought Patriot systems, such as Germany, the Netherlands, Romania and Poland, who are all NATO members.

The contract has a base value of $1.1 billion, with delivery to commence by 2021. The deadline for Sweden’s final decision is Aug. 10.

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