(JNS) U.S.-based defense company Leonardo DRS and Israeli radar maker RADA Electronic Industries have announced an all-stocks business merger.

The new company will be aligned with some of the fastest-growing segments of the U.S. Department of Defense budget and “be positioned to pursue global opportunities through the worldwide presence of Leonardo DRS’s parent company, Leonardo SpA,” it announced in a joint statement.

RADA is producing the radars for the recently produced Eitan Israeli armored personnel carriers, which will serve the vehicles’ Iron Fist active protection system, made by Elbit.

RADA CEO Dov Sella called the merger an “important strategic transaction” and a “true win-win” for shareholders in both RADA and Leonardo DRS.