Harris divests government IT services business
Harris Corporation is selling its government IT services business to an affiliate of Veritas Capital under a definitive agreement announced on 27 January.
Harris’ government IT business provides IT and engineering managed services to US government agencies, including supporting NASA’s Space Communications Network and Deep Space Network programmes; and operates within the company’s critical networks segment.
The transaction is subject to regulatory review and other customary closing conditions and is expected to close before the end of fiscal 2017.
William M Brown, chairman, president and chief executive officer, said: ‘Today’s announced divestiture, coupled with the recent sale of CapRock, reflects our strategy of optimising the business portfolio to create shareholder value.
‘These divestitures sharpen Harris’ focus on growing core franchises where technology is a key differentiator, providing compelling value to our customers.’
Harris’ air traffic management franchise is not part of the divestiture, and will now operate as part of the company’s electronic systems segment. As a result, Harris will have three business segments with no changes to its communication systems or space and intelligence systems segments.
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