Orbital Sciences Corporation and ATK announced their definitive agreement to merge their Aerospace and Defense (A&D) Groups to creat...
Orbital Sciences Corporation and ATK announced their definitive agreement to merge their Aerospace and Defense (A&D) Groups to create a $4.5 billion company, to be called Orbital ATK.
In the merger, ATK shareholders will own approximately 53.8% of the equity of the combined company and Orbital shareholders will own approximately 46.2%.
Orbital ATK will serve markets for space launch vehicles and propulsion systems, tactical missiles and defense electronics, satellites and space systems, armament systems and ammunition, and commercial and military aircraft structures and related components.
As part of the transaction, ATK will spin off its Sporting Group, which focuses on commercial sporting equipment, to its shareholders.
Orbital ATK will employ about 13,000 people, including over 4,300 engineers and scientists and 7,400 production and operations specialists, at engineering centers, research laboratories, manufacturing facilities, and test and launch sites across 17 US states.
Citigroup acted as financial advisor to Orbital while Hogan Lovells US LLP acted as Orbital’s legal advisor.
Based on 2013 financial results, the new company would have combined annual revenues of about $4.5 billion, EBITDA over $575 million and total contract backlog more than $11 billion.
Orbital develops and manufactures small- and medium-class rockets and space systems for commercial, military and civil government customers.
ATK is a market leader in solid rocket propulsion systems for space and strategic launch vehicles, satellite structures and power systems, and aerospace composite structures.
