L-3 Expects M&A Increase

Defense contractor L-3 Communications is seeking to boosts its acquisitions, the company's chief financial officer said today at a J.P. Morgan conference in New York City.

Ralph D'Ambrosio acknowledged that L-3 has done only "very modest" mergers and acquisitions in the last few years. However, "the improvement in the [Defense Department] budget is going to make us more inclined to invest in business acquisitions," he said.

L-3 is seeking targets that are available, he added, noting that "we don't like to force transactions . . . because it tends to lead to overpaying."

"We'll continue to look for businesses that fit well with L-3 and that provide attractive economic returns," D'Ambrosio said. "I expect that you're going to see an increase in the pace of M&A at L-3 in short order."