Aerojet Rocketdyne shares climbed on Monday, following news that Lockheed Martin agreed to buy Aerojet in a deal valued at $4.4 billion.
Lockheed will pay $51 a share for each Aerojet share, a 21% premium from Friday’s closing price. What’s more, Aerojet announced a $5 a share special dividend to be paid on March 24, to shareholders of record as of March 10 -- thereby bringing the total amount to be received by Aerojet shareholders to $56 a share.
The transaction will allow Lockheed’s defense products to expand into Aerojet’s systems for missiles, rockets and other space and defense applications.
The deal is expected to close in the second half of 2021, subject to approvals from regulators and from Aerojet’s shareholders.
a manufacturer of solid and liquid rocket propulsion systems and defense products
Industry AerospaceDefense