Top defense contractor

Lockheed Martin

(LMT) - Get Report

announced it will buy

Titan

(TTN)

for about $1.8 billion in cash and stock.

San Diego-based Titan provides information technology to the government.

Lockheed, based in Bethesda, Md., says the deal totals about $2.4 billion, including the assumption of about $580 million of Titan's debt.

"Titan provides additional presence within the U.S. government customer base and expands our competencies," said Vance Coffman, Lockheed chairman and chief executive officer. "Titan is an excellent fit with Lockheed Martin, and its acquisition is consistent with our disciplined growth and cash deployment strategies," he said.

"Titan's outstanding record of sales growth and the quality of its workforce made this transaction very attractive to us. ... Our combined capabilities will continue to enhance the Defense Department's transformational systems and focus on the evolving threats that face our country," Coffman added.

"We are extremely proud of our track record of growth and dedicated service to our nation during our 22-year history," said Titan chairman, president and chief executive officer Gene W. Ray. "Lockheed Martin is acquiring Titan to expand and grow the business. Together we will offer a broader spectrum of system and IT solutions to our customers."