General Dynamics Acquires Force Protection For $360M

Falls Church-based General Dynamics has acquired Force Protection for $360 million, the two companies announced Monday. The transaction is expected to be accretive to General Dynamics' earnings in 2012.

"Force Protection complements and strategically expands General Dynamics' armored vehicle business, adding new products to the expansive portfolio of combat vehicles that we currently manufacture and support," General Dynamics Land Systems President Mark C. Roualet said in a release Monday. "In addition, Force Protection's skilled workforce provides high-quality support and sustainment services to an installed fleet of approximately 3,000 vehicles, strengthening our ability to support assets deployed with U.S. forces around the world. With this acquisition, we will create new opportunities to serve domestic and international customers alike."

General Dynamics Land Systems will add 1,100 employees from Force Protection to their current 8,400 employees. Force Protection specializes in designing vehicles specifically for reconnaissance and urban operations and to protect their occupants from landmines, hostile fire and improvised explosive devices. The company has delivered more than 3,000 vehicles under the U.S. military's Mine Resistant Ambush Protected (MRAP) vehicle program, and also provides Cougar and Buffalo mine-protected vehicles to foreign customers including the United Kingdom Ministry of Defense.