MELBOURNE, Florida -- Harris Corporation and L3 Technologies have agreed to an all-stock merger, the companies announced in a joint statement Sunday.

  • Harris Corporation, L3 Technologies to merge in all-stock deal
  • Combined company would become 6th largest U.S. defense contractor
  • Company will be headquartered in Melbourne, Florida

Combined, the companies would become the United States' sixth-largest defense contractor with a market value of about $34 million. L3 Harris Technologies would generate $16 billion in annual revenue with 48,000 employees worldwide.

"This merger creates greater benefits and growth opportunities than either company could have achieved alone," L3 chief executive Christopher Kubasik said in a statement.

The deal is a response to increased defense spending under President Donald Trump.

Harris, a Melbourne, Florida-based company, develops communication, electronic, and space systems for both government and commercial use such as radar, robotics and more.

L3, which is based in New York, develops advanced defense technologies such as aviation security, night vision, and pilot training.

The new L3 Harris Technologies will be headquartered in Melbourne.