Leonardo DRS, the U.S.-listed subsidiary of Italy’s Leonardo, has entered into a definitive agreement to acquire Virginia-based mission-software provider Raft LLC in a $450 million all-cash transaction [1] [2].
The companies announced the proposed transaction July 28. It remains subject to regulatory approvals and customary closing conditions, and Leonardo DRS expects it to close in the fourth quarter of 2026 [1] [2].
Raft, founded in 2018 and headquartered in McLean, Virginia, develops open-architecture mission software focused on multi-domain data fusion and artificial intelligence for U.S. government and national-security customers [1] [2].
Leonardo DRS said it plans to combine Raft’s software and data-integration capabilities with the company’s sensing and network-computing portfolio. The company said the combination is intended to support integrated mission systems and faster operational decision-making [1].
Leonardo holds a 71.38% stake in Leonardo DRS, making the pending deal a specific cross-border defense-tech acquisition: an Italian defense group would add a U.S. software company through its U.S.-listed subsidiary [2].
That corporate transaction is distinct from the wider European policy push for sovereign defense capabilities. It does not by itself establish a broader disengagement from U.S. technology, but it shows a European prime using a U.S. acquisition to add software and AI capacity [2] [3].
Leonardo DRS said it intends to finance the deal with cash on hand and borrowings under its revolving credit facility. The company also projected adjusted-diluted-earnings-per-share accretion in the first full year after closing and a present-value tax benefit of about $50 million over 15 years; both are company expectations [1].
References
[1] Leonardo DRS to Acquire Raft, Expanding Multi-Domain AI, Data Fusion and Mission Software Capabilities
[2] Leonardo Is Expanding in the U.S. With the Acquisition of Raft
[3] European Defence Industrial Strategy
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