BAE Systems’ $1.9 billion acquisition of Collins Aerospace’s military Global Positioning System business is complete, the company announced Friday morning.
“The Military GPS business brings high quality products which complement our Electronic Systems portfolio, strengthening our position as a leading provider of defence electronics,” Charles Woodburn, chief executive of BAE Systems, said in a statement.
The United Kingdom-based aerospace and defense company agreed to purchase the military GPS business in January and will keep about 700 employees in Eastern Iowa.
Those jobs include more than 450 engineers and 200 operations employees.
“We wanted to keep that business intact,” said John Watkins, vice president and general manager of BAE Systems precision strike and sensing solutions division. “We didn’t want to break anything in the integration process.”
Those jobs are moving from Collins Aerospace, Watkins said, so no new jobs are created yet. But Watkins envisions BAE Systems adding more positions soon as the transition progresses.
“Once we better understand what they can do better than what we can do, that’ll bring more opportunity to grow even further out there,” Watkins told The Gazette on Friday.
“Those will be decisions we’ll need to factor in the new facility. It would be very difficult to add more people while we’re still inside the Collins footprint.”