(Corrects paragraph 3 to remove incorrect reference to Orbital
as a maker of guns and ammunition)
April 29 Alliant Techsystems Inc, the
world's largest ammunition maker, said it would merge with
Orbital Sciences Corp, after spinning off its sporting
Orbital shares were up nearly 19 percent in premarket
trading. Shares of Alliant Techsystems, better known as ATK,
were up 5 percent.
Orbital makes small- and medium-class rockets and space
systems for commercial, military and civil government customers.
Orbital stockholders will get 0.449 ATK shares per Orbital
share, ATK said on Tuesday. The combined company, to be called
Orbital ATK Inc, will own about $1.7 billion of ATK's debt.
ATK said its shareholders will own about 53.8 percent of the
combined company, with Orbital shareholders holding the rest.
The deal is expected to close by the end of this year.
BofA Merrill Lynch acted as ATK's financial adviser and
Cravath, Swaine & Moore LLP was its legal adviser. Orbital's
financial advisor was Citigroup and its legal advisor was Hogan
Lovells US LLP.
ATK's outdoor sports business, which will be spun off to its
shareholders, makes sporting rifles, holsters and harnesses.
ATK shares closed at $138.82 on the New York Stock Exchange
on Monday. Orbital shares closed at $26.57.
(Reporting by Mridhula Raghavan in Bangalore; Editing by