Ball has reached an agreement to sell its aerospace business to BAE Systems for $5.6 billion in cash. BAE Systems is a provider of high-tech solutions for defense markets, including imaging, sensors, and optical displays, among others. Ball Aerospace provides technologies for the aerospace, air defense, and scientific space exploration markets, including communications, sensors, imaging technologies, optoelectronic technologies, and others.
The transaction is expected to close in the first half of 2024, subject to customary regulatory conditions and approvals. The agreement includes a termination fee of $100 million payable by BAE Systems to Ball Aerospace’s parent company in the event that the transaction is terminated due to regulatory approval conditions not being met within the agreed time frame.
Additionally, BAE Systems Australia completed a strategic divestment of its photonics business to Norseld, a designer and manufacturer of laser platforms and photonics solutions for medical, engineering, and manufacturing markets.