Defense Industry Outlook

Defense Industry Outlook: Budget Battles, State of the Market, and a New DOD Oversight Policy for M&A Transactions

Bloomberg BNA and Squire Patton Boggs invite you to join our industry experts on February 23 in Washington, DC for a briefing, Defense Industry Outlook: Budget Battles, State of the Market, and a New DOD Oversight Policy for M&A Transactions, that will address the policy developments that will impact your decisions, provide information on market trends and activity, and consider important antitrust and regulatory concerns. 

Despite approval of the Bipartisan Budget Act of 2015, the Pentagon has already signaled a $17B shortfall for FY2017. How the federal budget debate plays out against the backdrop of the presidential election should be of significant interest to defense industry leaders. From a business perspective, spending cuts will require the defense industry to realign its priorities, shed less profitable lines and seek more strategic combinations. As a result, M&A activity is likely to ramp up as industry participants adjust their strategies and their product and service offerings to address new market realities. However, DoD has announced that defense industry mergers will be subject to stricter regulatory review, which can have a significant impact on the valuation or likely success of a transaction.