The deal is likely to be settled in the first half of 2020. A new defense and aerospace giant will appear in the USA as a result of the merger. Both companies manufacture a wide range products. The annual turnover of joint business may be 74 billion dollars. The new entity will be called Raytheon Technologies Corp.
The Wall Street Journal reported that Chairman of the Board Greg Hayes would serve as CEO of the merged company. He said that the merger would determine the future of the aerospace and defense industries. The United Technologies shareholders will take over most of the conglomerate. Under the terms, Raytheon shareowners will receive 2.3348 shares in the combined company for each Raytheon share they hold. When the dust settles, shareholders of United Technologies will own approximately 57% of the new firm on a fully diluted basis while Raytheon's will hold about 43%. Raytheon will contribute seven of the 15 board positions.
