Shareholders OK Northrop's acquisition of TRW
- By Nick Wakeman
- Dec 11, 2002
After an acrimonious start and several months of review by regulators, the deal is done: Northrop Grumman Corp. has acquired TRW Inc.
Shareholders for the two companies approved the acquisition Dec. 11. With the $7.8 billion acquisition, Los Angeles-based Northrop Grumman will boost its revenue from $17 billion to between $25 billion and $26 billion. The combined companies will have more than 120,000 employees, said company spokesman Randy Belote.
Northrop Grumman made its first unsolicited offer for TRW in February. The two companies spent months dueling as Cleveland-based TRW sought to remain independent. But in July, they reached an agreement.
On Dec. 10, the deal cleared its final regulatory hurdle when Northrop Grumman and the Justice Department worked out a consent decree addressing competition concerns involving the satellite payload business.
On the IT side of business, Northrop Grumman will now have more than $7 billion in annual revenue, across a board range of civilian and defense agencies.
Nick Wakeman is the editor-in-chief of Washington Technology. Follow him on Twitter: @nick_wakeman.