September 28, 2015 - M&A

U.S. Regulators Clear Lockheed Martin’s Acquisition of Sikorsky

LitigationLockheed Martin filed documents with the Securities Exchange Commission (SEC) last Thursday, September 24, 2015, revealing that U.S. regulators had approved Lockheed’s $9 billion acquisition of Sikorsky.

The deal was reviewed by U.S. regulators for roughly two months to determine whether the acquisition would substantially reduce competition.  Lockheed’s SEC filings reveal that U.S. regulators concluded that a more fulsome “second request” for information, under the Hart-Scott-Rodino Act, was unnecessary.  The regulators’ decision not to pursue additional information contradicts the U.S. government’s review of information in the recent merger of Orbital Sciences Corp. and Alliant Techsystems.

Although other regulatory authorities in Europe and China may be interested in reviewing additional information about Lockheed’s acquisition, Lockheed’s SEC filings articulate its belief that the deal is on track to close in the fourth quarter of 2015 or the first quarter of 2016.