Israel’s Elbit Systems to acquire IMI Systems for $516.8 million

Israeli defense electronics company Elbit Systems Ltd. plans to officially acquire weapons manufacturer IMI Systems Ltd. (IMI) from the state for 1.9 billion new shekel ($516.8 million).

The merger with IMI will give Elbit Systems a foothold in precision rockets, cruise missiles, and active protection for tanks and armoured fighting vehicles (AFVs).

The acquisition will also give Elbit Systems the involvement in 30 percent of all of the Israel Defense Forces' Merkava tanks and Namer AFVs, precision artillery shells, upgrading of tanks and AFVs, armoring and weapons stations, manufacturing of armored vehicles, et cetera.

Elbit Systems expects the merger to significantly expand its portfolio of products and become a defense supermarket in which mega-deals can be made.