LDOS · Leidos Holdings, Inc.

Leidos Holdings, Inc. has entered into a significant joint venture agreement, marking a strategic move to combine its Security Enterprise Solutions and Industrial Automation segments with Analogic Corporation, a portfolio company of investment firm Altaris. The transaction structure involves Leidos contributing the SES/IA Business assets in exchange for a 41.5% minority stake in the new joint venture, while Altaris affiliates contribute Analogic equity for a 58.5% majority stake and receive additional cash consideration funded by new debt financing obtained by the joint venture. This partnership is positioned as a strategic combination of complementary detection technologies, manufacturing capabilities, and engineering expertise, with the stated goal of enhancing security screening innovation, improving research and development efficiencies, and accelerating the transition to AI-native and 3D imaging solutions. The joint venture will operate under the Analogic brand and is expected to focus on growth in the global detection and imaging market, allowing Leidos to continue investing in other core growth areas identified in its NorthStar 2030 strategy. The disclosed contribution of approximately 1,500 employees and $625 million in projected 2026 revenue provides scale context for the transaction. The extensive closing conditions, including regulatory approvals and debt financing, along with the detailed termination provisions, outline the path to completion expected in the second half of 2026.