Lockheed Martin to Acquire Ultra Maritime in $3.45 Billion Deal

Lockheed Martin is acquiring Ultra Maritime in a deal valued at $3.45 billion, the companies announced, according to Breaking Defense.

What Happened

Ultra Maritime develops a range of undersea and anti-submarine warfare (ASW) capabilities, including sonar technologies, sonobuoys, torpedo defense systems, radar solutions and autonomous maritime sensing platforms. "Undersea superiority belongs to those who move fastest and work together best," Stephanie Hill, president of Lockheed Martin Rotary and Mission Systems, said in a statement. "By joining forces with Ultra Maritime, we're accelerating our commitment to deliver the most advanced undersea and anti-submarine warfare capabilities to our US and allied partners across the globe."

Lockheed Martin said Ultra Maritime will fall under the company's Rotary and Mission Systems division upon closing. Private equity investor Advent acquired Ultra Maritime — then part of Cobham Ultra — in 2022. Since then, the firm has committed approximately $170 million in advanced product development and manufacturing capabilities into the company, increasing annual revenue by roughly 17 percent, according to Ultra Maritime.

"When we invested in Ultra Maritime in 2022, we saw a business with mission-critical technology and a vital role in protecting allied nations from undersea threats, but one that had been underinvested and was not yet fully delivering for its customers," said Shonnel Malani, managing partner at Advent and chair of the board at Ultra Electronics. "Over the past four years, we have changed that. Ultra Maritime is now a stronger, more innovative partner to allied navies, with improved execution, greater industrial capacity and next-generation autonomous solutions that position it well for future warfare."

Last year, Ultra Maritime unveiled strategic partnerships with other defense firms, including Anduril, to develop next-generation autonomous subsea sensing capability, and General Atomics Aeronautical Systems, to advance unmanned airborne detection of adversary submarines.

Why It Matters

The acquisition deepens Lockheed Martin's position in undersea warfare at a time of renewed allied focus on anti-submarine capabilities. By folding Ultra Maritime's sonar, sonobuoy and autonomous sensing technology into its Rotary and Mission Systems division, Lockheed is positioning itself to supply both the US and allied navies with integrated undersea detection systems.

What to Watch

Formal terms and any regulatory approvals for the deal will need to proceed before closing. Ultra Maritime's recent partnerships with Anduril and General Atomics on autonomous subsea and airborne submarine-detection systems suggest Lockheed may look to expand these collaborations once the acquisition is complete.