Major Defense Deal Aligns Portfolio With US National Security Priorities
L3Harris Technologies has agreed to sell a majority stake in its Propulsion and Power Systems division to AE Industrial Partners for $845 million, aligning its portfolio with US national security priorities. The transaction, which excludes the RS-25 rocket engine business, is expected to close in the second half of 2026. L3Harris will retain a 40% ownership stake, with AE Industrial taking a 60% share. The deal was announced by L3Harris on January 5, 2026, and reported by AeroTime.