Saudi Arabia buys $15 U.S. billion missile defense system in face of "Iranian threat"
Saudi Arabia will buy Lockheed Martin’s (LMT.N) $15 billion missile defense system, a U.S. Department of State spokesman said.
The State Department said the Saudis and U.S. officials signed the letters of offer and acceptance documents on November 25, formalizing terms for Saudi’s purchase of 44 Terminal High Altitude Area Defense (THAAD) launchers, missiles and related equipment.
The State Department spokesman said the deal, first reported by CNBC, supports the "long-term security of Saudi Arabia and the Gulf region in the face of the growing ballistic missile threat from the Iranian regime and Iran-backed extremist groups.”
The spokesperson added that the THAAD deal had been under discussion since December 2016 and is now completed, Reuters reported.
Defying the White House, the Senate voted on November 28 to advance a resolution to end U.S. military support for the Saudi-led coalition in Yemen’s civil war, setting the stage for a possible final vote on the measure within days. Congressional approval for the THAAD missile defense system sale was given in 2017.