Lockheed with green light to acquire Sikorsky

The US authorities has given Lockheed Martin, an American global aerospace, defense, and security company approval for the acquisition of Sikorsky Aircraft from United Technologies (UTC) for $9 billion, Reuters reported citing the firm. Thus, the ownership of the Polish PZL Mielec production plant will also change. Nevertheless, the transaction has to obtain regulatory approval from the European Union, China and watchdogs of other countries where one or both companies are present. According to one of Reuters' sources, things are going well for the American giant and Lockheed is now likely to close the acquisition well before the end of the year. Previous reports stated that, as a consequence of the sale, 1,400 people would be dismissed, including 500 workers at the Mielec production plant. In total, Sikorsky consists of four production plants and employs 15,000 people. The upcoming weeks will show if Sikorsky is to be sold or separated from UTC structures, the daily informed. Rzeczpospolita suggested that the decision is the outcome of choosing Airbus Helicopters' offer over Sikorsky Aircraft in a tender for the Polish Army. While, the loss of the Polish contract contributed, the company experienced a lull on the helicopter market due to low oil prices. For UTC, the transaction means withdrawing from helicopter business and focusing on other arms.