L-3 Agrees To Sell NSS Business To CACI For $550 Mln In Cash

(RTTNews) - L-3 Communications (LLL) Tuesday said it has entered into a definitive agreement to sell its National Security Solutions or NSS business to CACI International Inc. for $550 million in cash.

"L-3 is in the midst of a business transformation aimed at reshaping our portfolio, strengthening our focus on markets where we have leading positions, and improving our top-line growth and margin profile," said Michael Strianese, L-3's chairman and chief executive officer.

The proceeds from the sale will provide L-3 with additional flexibility to continue focusing on a disciplined and balanced capital allocation strategy, he added.

The transaction is expected to be completed in the first quarter of 2016. The NSS results of operations are expected to be reported as discontinued operations beginning in the fourth quarter of 2015.

L-3 National Security Solutions provides enterprise and mission information technology services, intelligence operations support and operational infrastructure support.

Deutsche Bank Securities Inc. served as financial advisor to L-3 in connection with the transaction. Simpson Thacher & Bartlett LLP served as legal advisor to L-3.