Cobham Buying Aeroflex for $920M

NEW YORK (AP) -- Cobham PLC said Tuesday that it has agreed buy Aeroflex Holding Corp. for about $920 million.

Aeroflex, based in Plainview, New York, makes products and test equipment used by the aerospace, medical and wireless industries. Cobham makes everything from aircraft fuel tanks to antennas.

Cobham, a U.K.-based aircraft parts and services company, will pay $10.50 for each share of Aeroflex. That's 26 percent above the stock's closing price of $8.31 Monday. Cobham will also take on Aeroflex's $540 million of debt.

The two companies value the total deal, which is expected to close during the third quarter, at about $1.46 billion.

Aeroflex shares soared 25 percent to $10.38 in trading before the stock market opened Monday.