Serco Expands Defence Capabilities with US Acquisition

Serco, an international provider of critical government services, has announced its acquisition of Northrop Grumman's Mission Training and Satellite Ground Network Communications (MT&S) business for $327 million. This acquisition, revealed ahead of IDEX 2025 in Abu Dhabi, allows Serco to strengthen its presence in the worldwide defence market, particularly in North America. With anticipated annual revenues of $300 million, MT&S, which provides advanced mission training services and satellite ground network software, will significantly grow Serco's defence offerings. The acquisition will enhance Serco's expertise across U.S. military branches and international partners, increasing Serco's ability to support militaries globally. This deal positions defence as Serco's largest sector, representing 40% of its revenue. It also increases North America's contribution to 50% of operating profit. The acquisition, pending regulatory approval, is expected to close mid-2025.