Boston, MA 04\/29\/2014 (wallstreetpr) –\u00a0Orbital Sciences Corp (NYSE:ORB)<\/b> <\/b>is to merge with the biggest ammunition manufacturer of the world, Alliant Techsystems Inc. (NYSE:ATK)<\/b> in a $5 billion deal.<\/p>\n
The Agreement<\/b><\/p>\n
Orbital Sciences Corp (NYSE:ORB) announced today that it has signed a deal with Alliant Techsystems Inc. (NYSE:ATK) whereby it will merge with the latter\u2019s Aerospace and Defense Groups\u00a0(A&D). The merger will produce a $4.5 billion defense, aviation, and space systems manufacturer and developer.\u00a0 The new entity will be called orbital ATK, Inc., in which ATK shareholders will have an approximate 53.8% stake while the rest of the approximate 46.2% equity will belong to Orbital\u2019s shareholders. As per the terms of the agreement, AKT\u2019s Sporting Group will be spun off. The deal is valued at almost $5 billion as per the closing stock price for Orbital, as on April 28, 2014. The agreement is a tax free merger of equals.<\/p>\n
Orbital ATK<\/b><\/p>\n
The new company will be managed by a 16 member Board, which will be headed by Chairman General Ronald R. Fogleman and will consist of 7 ATK\u2019s directors and 9 Orbital\u2019s directors. Orbital ATK is seeking to employ as many as 4,300 scientists and engineers and about 7,400 operations and production specialists. The company aims at establishing research laboratories, engineering centers, test and launch facilities and manufacturing sites in around 17 states. The new 13,000 person company will serve the U.S. and customers globally with leading market positions for defense electronics and tactical missiles, propulsion systems and space launch vehicles, space and satellites systems, ammunition and armament systems, military\u00a0and commercial aircraft structures and components.<\/p>\n
Headquartered at Dulles, Virginia (Orbital\u2019s present headquarter location), the combined company will have total revenues of around $4.5 billion as per the sum 2013 revenue for both the companies. Orbital ATK will have EBITDA above $575 million with a net contract backlog of over $11 billion.<\/p>\n","protected":false},"excerpt":{"rendered":"
Boston, MA 04\/29\/2014 (wallstreetpr) –\u00a0Orbital Sciences Corp (NYSE:ORB) is to merge with the biggest ammunition manufacturer of the world, Alliant Techsystems Inc. (NYSE:ATK) in a […]<\/p>\n","protected":false},"author":12,"featured_media":20605,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"rop_custom_images_group":[],"rop_custom_messages_group":[],"rop_publish_now":"initial","rop_publish_now_accounts":{"twitter_2902945987_2902945987":""},"rop_publish_now_history":[],"rop_publish_now_status":"pending","footnotes":""},"categories":[2236],"tags":[6196,6197,6195,6194],"stock_ticker":[],"class_list":["post-20604","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-business","tag-alliant-techsystems-inc-nyseatk","tag-nyseatk","tag-nyseorb","tag-orbital-sciences-corp-nyseorb","entry"],"acf":[],"yoast_head":"\n