Northrop Grumman to Buy Orbital ATK for $7.8 Billion
- 7 years ago
Northrop Grumman to Buy Orbital ATK for $7.8 Billion
The military contractor Northrop Grumman said on Monday
that it would buy Orbital ATK, a maker of components for missiles and satellites, for about $7.8 billion in cash, amid a rise in consolidation in the aerospace industry.
The Trump administration has proposed giving the Defense Department tens of billions of dollars in additional
funding in the next fiscal year, much of which is expected to survive the budget-making process in Congress.
This month, United Technologies said it planned to buy Rockwell Collins for $23 billion,
bringing together stables of products that include nearly every part of planes.
The missile business is also growing fast, particularly as missile defense becomes a bigger concern for countries around the world
Under the terms of the deal announced on Monday, Northrop would pay $134.50 for
each Orbital ATK share, a 22 percent premium to the closing price on Friday.
The military contractor Northrop Grumman said on Monday
that it would buy Orbital ATK, a maker of components for missiles and satellites, for about $7.8 billion in cash, amid a rise in consolidation in the aerospace industry.
The Trump administration has proposed giving the Defense Department tens of billions of dollars in additional
funding in the next fiscal year, much of which is expected to survive the budget-making process in Congress.
This month, United Technologies said it planned to buy Rockwell Collins for $23 billion,
bringing together stables of products that include nearly every part of planes.
The missile business is also growing fast, particularly as missile defense becomes a bigger concern for countries around the world
Under the terms of the deal announced on Monday, Northrop would pay $134.50 for
each Orbital ATK share, a 22 percent premium to the closing price on Friday.