The Insider

Leidos completes merger with Lockheed’s IT services business

August 16, 2016 at 3:31 PM

Leidos said today it has completed its merger with Lockheed Martin’s information systems and global solutions business.

The company also announced the election of three new directors to its board: Gregory Dahlberg, Surya Mohapatra and Susan Stalnecker.

The merger creates a 33,000-employee government services business with about $10 billion in annual sales.

Dahlberg oversaw Lockheed Martin’s Washington operations from 2009 to 2015. He also previously served as minority staff director of the House Appropriations defense subcommittee and as Army under secretary.

Mohapatra previously worked as chief executive of Quest Diagnostics and has spent more than 30 years in the health care industry. Stalnecker worked at science and engineering company E.I. du Pont de Nemours & Co. from 1977 to 2016

Under the deal, Lockheed received a $1.8 billion special cash payment. Lockheed stockholders who participated in the exchange offer received a nearly 51 percent stake in Leidos.

For full coverage of the deal, check out our latest stories:

Following Lockheed deal, Leidos to operate with five business groups

As Lockheed deal advances, Leidos prepares for new business units

Lockheed: One review of competition impact remains for Leidos deal

After following similar path, defense contractors stake out different strategies

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