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Taxpayers to buy military radar company for $500m

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In an unusual deal, the government will take charge of a private sector military company to secure the technology for the navy’s future.

Taxpayers will spend almost $500 million to partially nationalise a homegrown manufacturer of military radars in an unusual deal., saying it secures a crucial sovereign capability for Australia’s military.Among the company’s products are the world-leading phased array radars that are installed on the Royal Australian Navy’s fleet of warships.

The deal is unusual. The government owns only two defence-focused GBEs, ASC Pty Ltd – which maintains the Collins class submarines – and Australian Naval Infrastructure, which owns the shipyard in Adelaide.While the deal puts CEA into public hands, the government insists ownership will not influence procurement decisions by the Defence Department. CEA will continue to pursue commercial opportunities, including exports.this week.

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