MCLEAN, Va., 22 May 2015.Exelis Inc. (NYSE:XLS) shareholders have voted in favor of the acquisition by Harris Corp. in Melbourne, Florida, whereas the Department of Justice has terminated the waiting period applicable to the merger under the Hart-Scott-Rodino Antitrust Improvements Act. Exelis and Harris officials now expect the merger to close on 29 May 2015, subject to the satisfaction of the remaining closing conditions.
"Acquiring Exelis is transformational for Harris," explains William M. Brown, chairman, president, and chief executive officer of Harris. "The combination of the two companies' highly complementary core franchises creates a competitively stronger company with significantly greater scale. We are expanding in a market, where we have decades of success and a workforce dedicated to providing our customers with innovative and cost-effective solutions for some of their most complex challenges."
Harris shareholders will own approximately 85 percent of the combined company, and Exelis shareholders will own approximately 15 percent.
“The vote today shows our shareholders understand that together, Harris and Exelis will be better positioned to compete more effectively and profitably in the global marketplace,” says Exelis CEO and President David F. Melcher. “We look forward to the new opportunities for our collective businesses and to bringing existing capabilities into new markets.”
Exelis is a diversified, top-tier global aerospace, defense, information, and services company that leverages a greater than 50-year legacy of deep customer knowledge and technical expertise to deliver affordable, mission-critical solutions for global customers. Exelis provides positioning and navigation, sensors, air traffic management solutions, image processing and distribution, communications and information systems; and is focused on strategic growth in the areas of critical networks, ISR and analytics, electronic warfare, and composite aerostructures. Headquartered in McLean, Virginia, Exelis employs approximately 10,000 people and generated 2014 sales of approximately $3.3 billion.
Harris is an international communications and information technology company serving government and commercial markets in more than 125 countries. Headquartered in Melbourne, Florida, the company has approximately $5 billion of annual revenue and about 13,000 employees — including 6,000 engineers and scientists.