Raytheon to acquire Applied Signal Technology for $490 million

Raytheon, the $25-billion US-based defence contractor, today said it has agreed on a $490-million deal to acquire intelligence and reconnaissance products company Applied Signal Technology Inc (AST).

The acquisition will enhance Waltham, Massachusetts-based Raytheon's capabilities across the full spectrum of integrated sensor solutions for classified and other government customers.

Based in California, AST is a leading provider of advanced intelligence, surveillance and reconnaissance (ISR) products, digital signal-processing equipment and other systems that are used by governments in counterterrorism.

AST manufactures tactical signals and communications intelligence (SIGINT/COMINT) systems, data fusion and information operations/information assurance products while Raytheon is the world leader in sensor technology, programme management, mission support and system integration. The combination will help Raytheon expand the range of intelligence and defence products.

The company sells 90 per cent of its products to classified customers. Its portfolio includes secure broadband network communications, cyber intelligence systems, software and analytics for sophisticated cyberspace threats, electronic warfare solutions and other advanced capabilities that enable customers to detect, evaluate and respond to potential threats.

These systems are deployed on a range of strategic platforms worldwide.