SAP sued by o9 Solutions over alleged trade secret theft
COLLEFERRO, Italy - Avio and Raytheon, an RTX (NYSE:RTX) business, have signed a Memorandum of Understanding to establish a solid rocket motor manufacturing facility in the United States, according to a press release statement issued Monday. RTX, currently trading at $178.15 and approaching its 52-week high of $181.31, has seen impressive growth with a 55.17% year-to-date return.
The new facility will position Avio as a vertically integrated merchant supplier in the U.S. market, with Raytheon securing preferred access to a portion of the plant's production capacity to meet future demand.
This agreement builds upon previous collaboration between the companies, including a contract signed in July 2024 for preliminary engineering work on the Mk104 rocket motor and a recent purchase order for qualification materials.
"This agreement will help establish an additional supplier of solid rocket motors within the U.S.," said Bob Butz, Vice President of Operations, Supply Chain and Quality at Raytheon.
VADM Ret. Jim Syring, CEO of Avio USA, stated the company looks forward to "leveraging the incredible pedigree and experience of our parent company Avio S.p.A. as we build our factory and establish in the U.S. as a true vertically integrated merchant supplier."
Avio, an international group specializing in space launchers and propulsion systems, employs over 1,500 people across operations in Italy, France, the United States, and French Guyana. The company serves as prime contractor for the Vega program and subcontractor for the Ariane program.
Avio USA, headquartered in Arlington, Virginia, operates under U.S. security and export-control regulations with a U.S.-led board of directors.
The companies did not disclose the facility's location, investment amount, or construction timeline in the announcement.
In other recent news, RTX announced a quarterly cash dividend of 68 cents per share, payable on December 11, 2025, to shareholders of record as of November 21, 2025. The company has a long history of paying dividends consistently since 1936. Raytheon, a business under RTX, signed a Memorandum of Understanding with Avio to establish a new solid rocket motor facility in the United States. This agreement will allow Raytheon preferred access to part of the plant's production capacity. Additionally, Raytheon UK secured a contract to provide orbital analysts for the UK's Space Domain Awareness mission, utilizing their NORSSTrack software. CPI Aerostructures received an order from Raytheon to manufacture structural missile wing assemblies, marking a significant business win for CPI. Meanwhile, UBS raised its price target for RTX to $202 from $197, maintaining a Buy rating due to RTX's strong results and progress in revenue and margin improvements.
This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.