Third Point’s Loeb Slams United Technologies-Raytheon Deal (2)

Activist investor Dan Loeb came out against United Technologies Corp.’s proposed tie-up with Raytheon Co., saying the “ill conceived” deal makes neither financial nor strategic sense.

The chief executive officer of Third Point, whose hedge fund owns a stake in United Technologies worth about $836 million, plans to vote against the deal, Loeb said in a letter to the company’s board. The agreement undervalues United Technologies’ aerospace unit and CEO Greg Hayes is pushing ahead for the wrong reasons, he said.

“Since there is no strategic or financial rationale for this transaction, we can only conclude that the merger was ...