Canadian Manufacturing

CAE announces completion of acquisition of L3Harris Technologies’ Military Training business

The acquisition approximately doubles CAE’s core military training business in the United States.

July 2, 2021  by CM Staff

MONTREAL — On July 2, CAE announced that it has formally concluded the previously announced acquisition of L3Harris Technologies’ Military Training business for US$1.05 billion subject to customary adjustments (the Acquisition). As announced earlier this week, all regulatory approvals were obtained and now all other closing conditions have been met.

As previously announced, a portion of the purchase price of the Acquisition and other related transaction costs was financed using the net proceeds from the private placements of C$700 million (approximately US$550 million) aggregate amount of subscription receipts issued by CAE to Caisse de dépôt et placement du Québec and GIC Private Limited. Upon closing of the Acquisition, the common shares of CAE issuable pursuant to the 22,400,000 subscription receipts were automatically issued through the facilities of CDS Clearing and Depository Services Inc. in accordance with the terms of the subscription receipts, on a one-for-one basis. The transfer register maintained by the subscription receipt agent for the subscription receipts will be closed as at the close of business on Jul. 2.

CAE is a high-technology company, involved in digital immersion, and providing solutions to improve global safety.

The acquisition approximately doubles CAE’s core military training business in the United States. The acquisition will also serve to broaden CAE’s ability to provide training and operational support solutions across multi-domain operations by diversifying CAE’s training and simulation leadership in the air domain, complementing land and naval training solutions, and enhancing CAE’s capabilities in space and cyber.

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