Kongsberg Stock Up on NOK 2B F-35 Deal with Lockheed

Key Deal Highlights

Kongsberg Defence & Aerospace has secured a significant contract with Lockheed Martin valued at NOK 2 billion. This agreement extends the company's production of critical components for the F-35 fighter jet program through 2030.

Agreement Overview

The deal reinforces Kongsberg's role as a key supplier for all three variants of the F-35 Joint Strike Fighter. Production for lots 20-22 will include rudders, vertical leading edges, and main landing gear closeout panels, all manufactured at Kongsberg's facilities in Norway.

Market Reaction and Impact

Following the announcement, shares of Kongsberg Defence & Aerospace rose by 3.5%. This positive market reaction reflects investor confidence in the company's long-term revenue stream and its strategic partnership within the global defense industry.

Summary

This long-term agreement solidifies Kongsberg's position in the F-35 supply chain, providing a stable production outlook. The market's positive response underscores the financial significance of the contract for the company.

FAQ

Q: What is the value of the contract between Kongsberg and Lockheed Martin?
A: The contract is valued at NOK 2 billion and extends through 2030.

Q: What components will Kongsberg supply for the F-35?
A: Kongsberg will supply rudders, vertical leading edges, and main landing gear closeout panels.

Source: Investing.com