The GovCon sector saw a potential re-shaping of its landscape this week with two of the most notable contractors in the defense and space sectors announcing that they would combine forces.
Orbital Sciences and ATK said Tuesdaythat they would undertake one of the sector’s largest transactions in recent memory as Orbital will merge with ATK’s aerospace and defense groups in an estimated $5 billion deal.
Upon the deal’s close, “Orbital ATK” will have close to 13,000 employees across 17 states that will work to help grow the company’s footprints in both U.S. and international markets.
David Thompson, Orbital’s current CEO and future chief executive of the combined company, said the deal was made to create a business that is “strongly positioned to expand into adjacent areas” alongside the space, defense and aviation systems markets.
“Orbital ATK” will be one of two companies that will arise from the deal as ATK will spin off its sporting groupinto an independent company, a move ATK President and CEO Mark DeYoung said is aimed to create “two strong, standalone companies committed to sustained leadership and success in their markets.”
In a similar vein to Orbital and ATK, Exelis said late last year that it would spin off its services business to focus on areas that President and CEO David Melcher believes can help Exelis “remain well-positioned in an evolving global market environment.”
Click here to review these and more stories on the sector’s M&A activity this year on GovCon Wire and continue reading below for the other headline-leading executive activity in GovCon this week.
Jerry Calhoun Appointed Human Capital SVP at The SI Org
Robert Carey to Lead Public Sector Cyber Business at CSC
ManTech will Buy 7Delta in Healthcare IT Push
The combined companies plan to work on the VA’s electronic health system with their combined forces.
Gerry Decker Becomes OMNIPLEX Chief Growth Officer
“This is a newly created position for the OMNIPLEX organization and demonstrates our commitment to growing our business through continuing to diversify our capabilities and customer base,” said Mike Santelli, OMNIPLEX president.
Sally Wallace Named DRS C4ISR Group President
She most recently served as VP of operations for the Finmeccanica subsidiary’s maritime and combat systems businesses.