Harris Corporation (NYSE: HRS) has completed its sale of government IT services business to Veritas Capital for USD 690m in cash, the company said.
Proceeds from the transaction will be used to support the company´s capital allocation strategy, including pension pre-funding and share repurchases.
The business, which was part of the former Critical Networks segment, provides IT and engineering managed services to US government agencies, including supporting NASA´s Space Communications Network and Deep Space Network programs.
Veritas Capital is a private equity firm that invests in companies that provide critical products and services, primarily technology and technology-enabled solutions, to government and commercial customers worldwide, including those operating in the aerospace & defense, healthcare, technology, national security, communications, energy, and education industries.
Veritas seeks to create value by strategically transforming the companies in which it invests through organic and inorganic means.
Harris Corporation is a technology innovator, solving customers´ toughest mission-critical challenges by providing solutions that connect, inform and protect. Harris supports government and commercial customers in more than 100 countries and has approximately USD 6bn in annual revenue. The company is organized into three business segments: Communication Systems, Space and Intelligence Systems and Electronic System.