Filing Supports ATK's Vision to Grow its Global Space-Related Business in Canada
Alliant Techsystems (NYSE:ATK) announced today that it will file an Investment Canada Act (ICA) Registration relating to its planned acquisition of the Information Systems and Geospatial Businesses of MacDonald Dettwiler and Associates (TSX: MDA). The company expects the acquisition to close in the first quarter of its fiscal year, after ICA review, regulatory approval and MDA shareholder approval.
"ATK welcomes a thorough review of its acquisition plan by industry officials and will work closely with the Canadian government throughout the review process," said Chairman and CEO Dan Murphy. "We believe this acquisition will strengthen the Canadian aerospace industry, grow Canada's world-class aerospace expertise, and open new doors for MDA's proven high performance technology to U.S. and international markets."
Once the acquisition is closed, ATK will merge its existing satellite assets with the MDA space business to form ATK Space Systems. The Canadian-based facilities and workforce will remain in Canada, preserving the company's unique and complementary strengths, and drive much of the group's growth profile.
The Investment Canada Act review will run concurrently with a U.S. Hart-Scott-Rodino review. The transaction is also subject to MDA shareholder approval. ATK now expects to complete all reviews and approvals by late May or early June.
Headquartered in Edina, Minnesota, ATK is a world leader providing small satellites and large satellite sub-systems, hypersonic engines, rocket motors for spacecraft launch and orbit transfer -- programs critical to reaching new space frontiers. With approximately 17,000 employees and annual revenue in excess of $4.1 billion (USD), ATK is the world's largest producer of solid rocket motors and the prime contractor for the first stage of Ares I, NASA's next-generation launch vehicle. News and information can be found on the Internet at http://www.atk.com/.
Certain information discussed in this document constitutes forward-looking statements as defined in the Private Securities Litigation Reform Act of 1995. Although ATK believes that the expectations reflected in such forward-looking statements are based on reasonable assumptions, it can give no assurance that its expectations will be achieved. Forward-looking information is subject to certain risks, trends, and uncertainties that could cause actual results to differ materially from those projected. Among these factors are: the ability to obtain required regulatory approvals of the transaction or satisfy other conditions to the transaction; the failure of MDA shareholders to approve the transaction; the occurrence of any event, change or other circumstance that could give rise to the termination of the acquisition agreement; the availability of capital market financing and the costs thereof; the successful integration of the businesses; the risk that the opportunities as a result of the transaction will not be realized, including the risk that the revenue projections and benefits will not be achieved; as well as delays in NASA's human-rated launch programs; changes in U.S. or international governmental spending, budgetary policies and product sourcing strategies; the company's competitive environment; risks inherent in the development and manufacture of advanced technology; increases in commodity costs, energy prices, and production costs; the terms and timing of awards and contracts; program performance; program terminations; changes in cost estimates; changes in foreign currency exchange rates; the outcome of contingencies, including litigation and environmental remediation; actual pension asset returns and assumptions regarding future returns, discount rates and service costs; changes to accounting standards; changes in tax rules or pronouncements; economic conditions; and the company's capital deployment strategy, including debt repayment, share repurchases, pension funding, mergers and acquisitions and any integration thereof. ATK undertakes no obligation to update any forward-looking statements. For further information on factors that could impact ATK, and statements contained herein, please refer to ATK's most recent Annual Report on Form 10-K and any subsequent quarterly reports on Form 10-Q and current reports on Form 8-K filed with the U.S. Securities and Exchange Commission.