10 pm: 57°FPartly Cloudy

12 am: 54°FMostly Clear

2 am: 50°FClear

4 am: 48°FClear

More Weather

Precision Castparts buys Titanium Metals for $2.9B

Nov. 10, 2012 @ 12:00 AM

PORTLAND, Ore. -- Precision Castparts Corp. is buying Titanium Metals Corp. in a deal worth roughly $2.9 billion.

The companies said Friday that Portland, Ore.-based Precision will pay $16.50 per share for the Dallas-based titanium melted and milled products company in a tender offer. That represents a 44 percent premium to the company's closing stock on Thursday.

Precision Castparts owns the Special Metals facilities in Huntington and eastern Kentucky.

The tender offer will launch later this month and is expected to be complete by the end of the year.

Titanium Metals' primary stockholder has agreed to tender its shares. Contran Corp. holds more than half of the company's outstanding stock.

The news sent shares of Titanium Metals up more than 42 percent in after-hours trading. Precision's shares increased 2 percent in after-hours trading.

(u'addcomment',)

Comments

The Herald-Dispatch welcomes your comments on this article, but please be civil. Avoid profanity, obscenity, personal attacks, accusations of criminal activity, name-calling or insults to the other posters. Herald-dispatch.com does not control or monitor comments as they are posted, but if you find a comment offensive or uncivil, hover your mouse over the comment and click the X that appears in the upper right of the comment. If you do not want your comment to post to your personal Facebook page, uncheck the box below the comment.