Raytheon, France’s Thales Plan Joint Venture

Raytheon Co. and Thales of France said they plan to create a joint venture to develop air-defense and radar systems, a step that will deepen French-U.S. defense ties. The 50-50 venture, Thales Raytheon Systems Co., will have two units: one based in Fullerton, of which Raytheon will control 51%, and one in France, of which Thales will own 51%. The venture, which was approved by the Defense Department last month, is projected to have annual sales of between $500 million and $700 million and will account for 40% of the global market for air-defense command-and-control centers, air-defense radar and battlefield-surveillance systems. The venture will start operations in the first quarter. Lexington, Mass.-based Raytheon’s Class B shares closed up 25 cents at $28.88 on the NYSE.