Leidos combination with Lockheed Martin IS&GS
Leidos combined with Lockheed Martin's government IT business in a tax-efficient Reverse Morris Trust, creating a US$10bn-revenue government services group.
- Company
- Lockheed Martin Information Systems & Global Solutions
- Type
- M&A
- Status
- Completed
- Date
- 16 Aug 2016
- Value
- US$4.6bn
- Value basis
- About US$4.6bn at closing: US$1.8bn special cash payment to Lockheed Martin plus Leidos shares (about US$5.0bn estimated at signing)
- Region
- US
- Segment
- Government services
Parties
- Leidos buyer
- Lockheed Martin seller
Key terms
- Structure
- Reverse Morris Trust
- Special cash payment
- US$1.8bn to Lockheed Martin
- Ownership
- Lockheed Martin holders about 50.5% of Leidos
Sources
- Lockheed Martin 8-K: Q4 and full-year 2015 results (IS&GS transaction terms) sec.gov · 26 Jan 2016
- Leidos: closing of the merger with Lockheed Martin's IS&GS business prnewswire.co.uk · 16 Aug 2016
Record DEF-INV-2016-0004. Investments are kept apart from the financings register and never counted in debt totals.
