The business of defense, October 19

Maximus announced an agreement Oct. 19 to acquire Agile Defense and certain affiliates for $660 million in cash payable at closing, subject to adjustments. Additional contingent consideration would depend on achieving performance objectives.¹

cash purchase price$660 millionplanned

payable upon closing and subject to certain adjustments

expected closing datefirst quarter of Maximus’ 2027 fiscal yearplanned

subject to regulatory approvals and customary closing conditions

potential additional contingent consideration tied to achieving certain performance objectives

Source: Maximus. As of October 19, 2026.

Sources

• investor.maximus.com ↗

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The deal would add established defense and national security customer relationships and contract vehicles to Maximus. Maximus describes Agile Defense as bringing approximately 1,100 cleared personnel.¹

Maximus already provides technology modernization for defense and national security agencies, with cybersecurity and artificial intelligence among its federal offerings. Its U.S. Federal Services segment, which handled the Medicare contact center and veterans' medical disability examinations, generated 56% of company revenue in fiscal 2025.²

Agile Defense is backed by private investment firm Enlightenment Capital and serves more than 50 federal agencies. Maximus expects Agile Labs, the contractor's innovation unit, to expand Maximus's technology capabilities through specialized talent, applied research and development, and emerging technologies.¹

Closing is expected in the first quarter of Maximus's fiscal 2027, subject to regulatory approvals and customary closing conditions.¹ The company will host a conference call Oct. 20 at 9 a.m. ET.¹

The Department of War announced a framework agreement with BAE Systems on Oct. 19 to expand production of the Advanced Precision Kill Weapon System (APKWS). It outlines procurement of up to 25,000 guidance sections a year for up to seven years, pending congressional authorization and appropriations.¹

Procurementup to 25,000 APKWS guidance sections annuallycontingent

for up to seven years, pending congressional authorization and appropriations

Pathway to surge outputup to 35,000 units annually for international alliescontingent

This industrial expansion will be unlocked as partner nations formalize orders via Foreign Military Sales Letters of Request.

Sources: Department of War; BAE Systems via PR Newswire. As of Oct. 19, 2026.

Sources

• www.prnewswire.com ↗
• www.war.gov ↗

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BAE says it will increase production while negotiating a multi-year contract within the framework.² Neither release gives a dollar value, obligated amount, current output or a date for reaching 25,000 or 35,000 units a year.^1–2

The department also describes a pathway to increase output to as many as 35,000 units annually for international allies. It says that expansion will be unlocked as partner nations formalize orders through Foreign Military Sales Letters of Request.¹ BAE describes the agreement as increasing production capacity to as many as 35,000 kits a year.²

The laser-guidance kits turn unguided 2.75-inch rockets into precision-guided munitions. BAE says they are used against a range of threats, including in the counter-unmanned aircraft systems mission. The company produces the kits in Hudson, New Hampshire, and Austin, Texas.²

Red Cat Holdings announced plans on Oct. 19, 2026, to acquire all outstanding shares of Steyr Motors AG. The proposed price is €39 a share in cash.¹ Red Cat’s wholly owned Vienna subsidiary, SMOT Acquisition GmbH, would make the offer.²

Offer priceEUR 39.00planned

per Steyr Motors share in cash, subject to the terms and conditions set forth in the offer document

Minimum acceptance threshold50% plus one sharecontingent

The proposed transaction remains subject to customary conditions

Subject to regulatory approvals in Austria, Italy, Australia and the UK

Source: Red Cat Holdings

Sources

• ir.redcatholdings.com ↗

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Red Cat believes the combination would strengthen its Blue Ops uncrewed surface vessel strategy. The acquisition would pair Steyr’s marine engine technology, manufacturing expertise and European operating base with Red Cat’s defense customer relationships.¹ Steyr’s engines are primarily used in military special vehicles, military and civilian boats, and as auxiliary power units for main battle tanks and locomotives.²

The proposed price represents a 28.9% premium to Steyr’s Oct. 16 Xetra closing price.² Red Cat describes the proposed offer as fully financed. Steyr’s anchor shareholder, B&C Holding Österreich GmbH, has irrevocably committed to tender its approximately 15% stake.¹

Steyr intends to support the offer, subject to a positive review of the final offer document’s legal and economic terms and the necessary Management Board and Supervisory Board resolutions.³ Completion is subject to a minimum acceptance threshold of 50% plus one share and regulatory approvals in Austria, Italy, Australia and the UK, among other conditions.¹

The bidder expects completion in the first half of 2027, subject to regulatory clearances and further customary conditions.²

Elbit Systems has been awarded a contract worth approximately $235 million to supply EXTRA-MR rockets and Precise & Universal Launching System (PULS) rocket artillery systems to a European customer, the company announced Oct. 19.¹

SupplyEXTRA-MR rockets and PULS rocket artillery systemsplanned

to supply EXTRA-MR (Medium Range) rockets and Precise & Universal Launching System (PULS™) rocket artillery systems to a European customer

Periodthree yearsplanned

The contract will be performed over a period of three years.

The contract also includes the delivery of PULS launchers, additional rocket-artillery-related platforms, and integrated logistics support.

Source: Elbit Systems release via PR Newswire, Oct. 19, 2026.

Sources

• www.prnewswire.com ↗

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The contract falls under a government-to-government agreement between the Israel Ministry of Defense and the customer country's Ministry of Defense, with performance over three years. Elbit did not identify the buyer or disclose launcher and rocket quantities.¹

Elbit describes EXTRA-MR as a precision-guided rocket designed for mid-range operations, with a range of up to 80 km and compatibility with PULS.¹

Australia's Department of Defence launched an industry solicitation on Oct. 13 for Project Land 6504, a medium-range, ground-based air defense system for the Australian Army, Defense News reported.¹

by end of 2027Planned vendor selection

mid-2029Planned live-firing at Exercise Talisman Saber

early 2030sPlanned initial operational capability

Reported by Defense News. As of Oct. 19, 2026.

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Canberra is pursuing direct commercial sale and U.S. Foreign Military Sales routes simultaneously because of time constraints, the outlet reported. Vendor selection is planned by the end of 2027. Live-firing at Exercise Talisman Saber is planned for mid-2029, with initial operational capability in the early 2030s.¹

Australia currently has a regiment's worth of NASAMS short-range air defense systems. Land 6504 seeks a system capable of intercepting ballistic missiles in their terminal phase and addressing subsonic air-breathing threats.¹

The envisioned system is off-the-shelf and expected to offer proven capability. It must integrate with CEA Technologies radars and the Joint Air Battle Management System being developed by Lockheed Martin Australia.¹

Kongsberg Australia is interested in the program, managing director John Fry told Defense News. The outlet reported supplier interest from Europe, Israel, South Korea, Turkey and the United States.¹

• Common Autonomous Multi-Domain Launcher (CAML)-Lite Prototype Effort (competitive process for prototype Other Transaction Agreements). Fri Oct 23, 4 p.m. CT: responses due¹⁰.
• Maneuver-Short Range Air Defense (M-SHORAD) Increment 4 Industry Day (Portfolio Acquisition Executive (PAE) Fires). Fri Oct 23: registration due. Tue Oct 27 to Wed Oct 28: industry day, Von Braun Center, Huntsville, Alabama¹³.
• Prototypes and Experiments Rapid Fielding Sites (PERFS) OTA request for prototype proposals (NSWC-PHD MATAC). Wed Oct 28, noon ET: responses due¹⁴.
• Precision Strike Missile Increment 1 (PrSM Inc 1) sources sought (Army Contracting Command, Redstone Arsenal; follow-on production contract). Fri Oct 30, 3 p.m. ET: responses due¹¹.

On the calendar

Oct 20, 8:30 a.m. ETRTX conference call

Oct 22, 8 a.m. ETCACI conference call

Oct 22, 8:30 a.m. ETLockheed Martin conference call

Oct 23, 8 a.m. ETBooz Allen Hamilton earnings call

Sources: RTX, CACI, Lockheed Martin and Booz Allen Hamilton investor announcements. As of Oct 19, 2026.

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Earnings coverage is limited to RTX, CACI, Lockheed Martin, Booz Allen Hamilton, Boeing, Parsons, KBR, Leonardo DRS and L3Harris for Oct 19–Oct 30.

• RTX third-quarter 2026 earnings. Tue Oct 20: results before the market opens; conference call at 8:30 a.m. ET¹.
• CACI International fiscal 2027 first-quarter earnings. Wed Oct 21: results after the market closes². Thu Oct 22, 8 a.m. ET: conference call².
• Lockheed Martin third-quarter 2026 earnings. Thu Oct 22: results before the market opens; conference call at 8:30 a.m. ET³.
• Booz Allen Hamilton Q2 2027 earnings. Fri Oct 23, 8 a.m. ET: conference call⁴.
• Boeing third-quarter 2026 earnings. Tue Oct 27: results; conference call at 10:30 a.m. ET⁵.
• Parsons third-quarter 2026 earnings. Wed Oct 28: results before the market opens; conference call at 8 a.m. ET⁶.
• KBR third-quarter 2026 earnings. Thu Oct 29: conference call at 8:30 a.m. ET⁷.
• Leonardo DRS third-quarter 2026 earnings. Thu Oct 29: conference call at 10 a.m. ET⁹.
• L3Harris Technologies third-quarter 2026 earnings. Thu Oct 29: results before the market opens; conference call at 10:30 a.m. ET⁸.

Further out

• Next Generation Hypersonic Cruise Missiles RFI (DARPA). Fri Nov 6, 5 p.m. ET: responses due¹².