Defense Dept backs L3Harris with $1B for pre-IPO missile-motors unit

The Defense Department invested $1 billion in L3Harris via convertible preferred securities that will convert into common stock in an IPO planned for the second half of 2026, creating a majority-owned missile-solutions unit with the government as an anchor investor but no board seats. The move aims to expand U.S. missile capacity, and L3Harris stock rose toward record closes amid a broader defense-focused rally, though congressional approval could be required for the government stake.