Aerojet Rocketdyne Holdings Inc. has made a $2 billion offer for United Launch Alliance, the Boeing Co.-Lockheed Martin Corp. joint venture that is the main supplier of defense launches for the U.S government, people familiar with the matter said.
Talks between the companies are continuing, and no deal is imminent, said the people, who weren’t authorized to comment publicly.
A takeover would be the first major strategic foray by Aerojet Rocketdyne Chief Executive Officer Eileen Drake since she was named to the post in June. She joined the Sacramento, California-based aerospace and defense company from United Technologies Corp. in March.
Aerojet Rocketdyne is a pivotal supplier to United Launch Alliance, which faces increasing competitive pressure from Elon Musk’s Space Exploration Technologies Corp. The Wall Street Journal reported the overture earlier Tuesday.