L3Harris secures $1B Missile Solutions investment

L3Harris Technologies, headquartered in Melbourne, Florida, USA, has closed a $1 billion strategic investment from the United States Department of Defense (DoD) in its Missile Solutions (MSL) business. The funding will reportedly be used to expand and modernise facilities, accelerate research and development, and increase production capacity for critical national security technologies.

The investment from the DoD is in the form of a convertible preferred security of the MSL business, which will convert into common equity upon an initial public offering (IPO). In addition, the DoD will receive certain warrants to purchase common stock in MSL. L3Harris said it intends to pursue an IPO of MSL in the second half of 2026, subject to market conditions.

L3Harris is investing billions to transform and grow its production operations at MSL in support of DoD priorities like PAC-3, THAAD, Tomahawk and Standard Missile. MSL was created in early 2026, bringing together the missile capabilities from across L3Harris, including the operations of legacy Aerojet Rocketdyne.

“This strategic partnership with the Department of War is a testament to the critical role L3Harris plays in our national security,” stated Christopher Kubasik, Chairman and CEO, L3Harris. “The investment will allow us to accelerate innovation and enhance our ability to deliver the advanced capabilities our warfighters need to deter and defeat emerging threats. We are proud to partner with the DoW to ensure the resilience of our defence industrial base for years to come.”

The DoD investment, along with future IPO proceeds and other sources of capital, will be used to further a variety of expansion and modernisation efforts at solid rocket motor production facilities in Camden, Arkansas; Huntsville, Alabama; and Orange, Virginia; among other sites.

L3Harris will retain more than 80% ownership of the new MSL business and will consolidate its financial results.

www.l3harris.com