The British are coming! The British are coming! The March 7 announcement that British defense firm BAE Systems would pay $4 billion for Pentagon contractor United Defense Industries tells us two things. First, if there was any question after the invasion of Iraq, there should be no longer: the U.S. and Britain are in this together. The two combined companies will be the sixth-largest supplier to the Pentagon. Second, the acquisition highlights what many growth investors like about mid-tier companies: they are juicy takeover targets. On the day BAE's offer valued UDI at $75 a share, UDI's stock closed at $73.35, 25.9 percent above its previous close.

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