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Northrop Grumman Corporation

AerospaceFounded 1994
Reviewed by Swet Parvadiya
Company data updated: October 2026

Acquisitions

Northrop Grumman Acquisitions

4

Major Deals Covered

$24.2B

Disclosed Deal Value

What are Northrop Grumman's biggest acquisitions?

Northrop Grumman's largest disclosed acquisition here is Orbital ATK for $9.2B in 2018. This page covers 4 major deals from 1994 to 2018, each with its price where disclosed and the reason behind it.

Major deals covered
4
Largest deal
Orbital ATK ($9.2B)
First deal
1994
Most recent
2018
CompanyYearPricePurpose
Orbital ATK2018$9.2BNorthrop Grumman acquired Orbital ATK to create vertical integration across the space and missile propulsion supply chain, adding solid rocket motor manufacturing, small satellite production, and the Cygnus spacecraft to its portfolio.
Litton Industries2001$5.1BNorthrop Grumman acquired Litton Industries to gain high-quality electronic warfare, navigation, and shipbuilding capabilities, diversifying beyond aircraft into the naval and electronic domains.
TRW Inc.2002$7.8BNorthrop acquired TRW to gain space and satellite capabilities, missile defense systems, and automotive electronics (later divested). TRW's space division had built critical national security satellites for decades.
Grumman Corporation1994$2.1BNorthrop Corporation merged with Grumman to create the scale and diversification needed to compete in the post-Cold War defense industry consolidation wave, combining Northrop's stealth expertise with Grumman's naval aviation and electronics strengths.
What companies has Northrop Grumman bought?
Major acquisitions by Northrop Grumman documented here include Orbital ATK (2018), TRW Inc. (2002), Litton Industries (2001) and Grumman Corporation (1994).
What is Northrop Grumman's most recent acquisition?
The most recent Northrop Grumman acquisition documented here is Orbital ATK, in 2018, for $9.2B.

Orbital ATK

2018

$9.2B

Why

Northrop Grumman acquired Orbital ATK to create vertical integration across the space and missile propulsion supply chain, adding solid rocket motor manufacturing, small satellite production, and the Cygnus spacecraft to its portfolio.

Impact

Orbital ATK became the Innovation Systems sector and was later folded into Space Systems and Defense Systems. It gave Northrop large solid rocket motor production, small launch vehicles, satellites and the Cygnus spacecraft.

Outcome

The propulsion business underpins Northrop's role on Sentinel and its supply of SLS boosters and missile motors. The deal (about $7.8 billion in cash plus assumed debt) was approved by the FTC with conditions requiring Northrop to supply rocket motors to rival missile makers on a non-discriminatory basis.

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TRW Inc.

2002

$7.8B

Why

Northrop acquired TRW to gain space and satellite capabilities, missile defense systems, and automotive electronics (later divested). TRW's space division had built critical national security satellites for decades.

Impact

TRW's space assets gave Northrop Grumman credibility in classified satellite programs that it had previously lacked, making it a legitimate competitor to Lockheed Martin Space on major NRO and missile warning programs.

Outcome

TRW's space business became the core of Northrop's satellite and space-payload work, including the James Webb Space Telescope. Northrop sold TRW's automotive unit to Blackstone shortly after closing.

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Litton Industries

2001

$5.1B

Why

Northrop Grumman acquired Litton Industries to gain high-quality electronic warfare, navigation, and shipbuilding capabilities, diversifying beyond aircraft into the naval and electronic domains.

Impact

Litton brought the Ingalls Shipbuilding yard (later divested as HII), inertial navigation systems, and electronic warfare suites that became core to the Mission Systems segment's competitive position.

Outcome

Litton's shipyards were combined with Newport News Shipbuilding (bought in 2001) and spun off as Huntington Ingalls Industries in 2011, while its navigation and electronics businesses stayed with Northrop.

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Grumman Corporation

1994

$2.1B

Why

Northrop Corporation merged with Grumman to create the scale and diversification needed to compete in the post-Cold War defense industry consolidation wave, combining Northrop's stealth expertise with Grumman's naval aviation and electronics strengths.

Impact

The deal combined Northrop's B-2 and electronics work with Grumman's Navy aircraft (E-2 Hawkeye, F-14) and Long Island engineering base, and made Northrop a consolidator during the 1990s defense downturn.

Outcome

Northrop Grumman continued buying businesses through the 1990s and early 2000s, including Westinghouse's defense electronics unit (1996), Logicon (1997), Litton (2001) and TRW (2002). The E-2D Advanced Hawkeye remains in production today.

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Northrop Grumman Corporation's Growth & Acquisition Strategy

Northrop is concentrating investment where it already holds franchise positions: B-21 production capacity (more than $5 billion invested in digital engineering and manufacturing), the Sentinel ICBM, solid rocket motors and munitions, missile-defense systems such as IBCS and the Glide Phase Interceptor, and classified and missile-tracking space constellations. International sales of IBCS, E-2D, Triton and munitions to allies are another growth lever.

How Northrop Grumman Corporation Makes Money

Northrop Grumman is a government contractor: the large majority of its sales come from the U.S. government, with the rest from allied governments (often through Foreign Military Sales) and a small commercial space business. It works across four segments. Aeronautics Systems builds the B-21 Raider, F-35 center fuselages, the E-2D Hawkeye and uncrewed aircraft such as Global Hawk and Triton. Defense Systems makes tactical weapons, ammunition, rocket motors for missiles and sustainment services. Mission Systems supplies radars (including the F-35's APG-81), electronic warfare, communications, the Army's IBCS air-defense command system and microelectronics. Space Systems builds satellites and payloads, the Sentinel ICBM, solid rocket boosters for NASA's SLS and the Cygnus cargo spacecraft. Revenue comes through a mix of cost-reimbursable development contracts and fixed-price production contracts; fixed-price work earns more when executed well but exposes the company to losses when costs run over, as happened on early B-21 production lots.

Northrop Grumman Acquisitions FAQ

What was the landmark 1994 merger between Northrop and Grumman?

In April 1994, Northrop Corporation acquired Grumman Aerospace for $2.17 billion in cash after winning a fierce bidding war against Martin Marietta, uniting Northrop's stealth technology and electronics with Grumman's naval aviation and space systems heritage.

What was Northrop Grumman's acquisition of Orbital ATK in 2018?

In June 2018, Northrop Grumman acquired aerospace and rocket motor leader Orbital ATK for $9.2 billion ($7.8B cash plus $1.4B net debt), creating its Space Systems business sector and securing market dominance in solid rocket propulsion, small launch vehicles, and satellites.

How did Northrop Grumman acquire TRW Inc. in 2002?

In December 2002, Northrop Grumman completed the $7.8 billion hostile takeover of aerospace and automotive defense conglomerate TRW Inc., securing top military satellite, space payload, and laser systems while divesting TRW's automotive parts business.

What was the acquisition of Litton Industries in 2001?

In 2001, Northrop Grumman acquired defense electronics, navigation systems, and naval shipbuilding giant Litton Industries for $5.1 billion, which added Ingalls Shipbuilding and expanded Northrop's electronic systems footprint.

What was the acquisition of Westinghouse Electronic Systems in 1996?

In 1996, Northrop Grumman acquired the defense electronic systems business of Westinghouse Electric Corporation for $3.0 billion, establishing its high-quality airborne radar, air traffic control, and electronic warfare facility in Linthicum, Maryland.

Why did Northrop Grumman spin off its shipbuilding business in 2011?

In March 2011, Northrop Grumman spun off its capital-intensive naval shipbuilding sector into an independent publicly traded company named Huntington Ingalls Industries (NYSE: HII), allowing Northrop Grumman to focus on higher-margin aerospace, cyber, and electronics.

Did Lockheed Martin ever try to buy Northrop Grumman?

Yes. Lockheed Martin agreed in 1997 to buy Northrop Grumman for about $11.6 billion, but the Justice Department sued to block the deal and the companies abandoned it in July 1998.

How did the acquisition of Orbital ATK in 2018 establish Northrop Grumman's space and solid rocket motor dominance?

In 2018, Northrop Grumman acquired Orbital ATK for $9.2 billion, rebranding it as Northrop Grumman Space Systems. This gave Northrop captive production of solid rocket motors (SRMs) vital for the Sentinel ICBM, NASA's Space Launch System (SLS) boosters, and commercial launch vehicles, cementing its prime position in the new space race.

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Content is for informational purposes only. Not financial advice. Data sourced from SEC filings, annual reports, and public records. See our full disclaimer and methodology.