Federal contractor Amentum to sell Rapid Solutions for $360M

Chantilly-based federal contractor Amentum announced Wednesday it has entered into a definitive agreement to sell its hardware and product business, Rapid Solutions, to Fortune 500 aerospace company Lockheed Martin for $360 million.

Amentum says the sale will accelerate debt reduction. The transaction, which is subject to customary regulatory approvals and conditions, is expected to close in the second half of the year and generate approximately $325 million in after-tax proceeds.

“The divestiture of Rapid Solutions sharpens Amentum’s focus on mission critical services and reinforces our position as a global pure-play provider of advanced engineering and technology-enabled solutions,” Adam Harrison, Amentum’s senior vice president of strategy and corporate development, said in a statement.

Rapid Solutions manufactures products that aid national security, including advanced communications and tactical systems. It accounts for approximately 1% of Amentum’s annual revenues and adjusted earnings before interest, taxes, depreciation and amortization. In December 2024, Amentum reported about $8.4 billion in revenue for fiscal 2024.

According to Amentum, about 230 employees will transition to Lockheed Martin upon close of the sale. Amentum will provide more information during its second-quarter earnings call on May 7.

Amentum has more than 53,000 employees in approximately 80 countries across all seven continents. The company was founded as a spinout of AECOM’s Management Services Group in 2020 and moved its headquarters from Germantown, Maryland, to Chantilly in 2023.

Headquartered in Bethesda, Maryland, Lockheed Martin is an aerospace and defense manufacturer that specializes in aeronautics, missiles and fire control, rotary and missions’ systems and space-related technology. The company reported $71 billion in net sales and $5.3 billion in net earnings in 2024. It has 350 facilities globally and 121,000 employees worldwide.