Create a free Manufacturing.net account to continue

Curtiss-Wright Offers $55M For Vmetro ASA

According to a Curtiss-Wright statement, Vmetro’s board said the offer is fairly priced and plans to recommend that shareholders accept the voluntary buyout offer.

ROSELAND, N.J. (AP) -- Curtiss-Wright Corp. said Monday that it has made a $55 million buyout offer for the Norwegian computer components maker Vmetro ASA.

Curtiss-Wright, which makes flow-control and motion-control products along with metal treatment services, said it would offer roughly 12.06 Norwegian kroner per share ($2.09), for all of Vmetro's shares. Including the assumption of about $25 million of Vmetro debt, the voluntary cash tender offer is valued at $80 million.

Vmetro's board said the offer is fairly priced and plans to recommend that shareholders accept the voluntary cash tender offer, according to a Curtiss-Wright statement. Shareholders representing 90 percent of Vmetro's stock must vote for the buyout for it to go through. As of Monday, 56 percent of the shares were committed to the offer.

Curtiss-Wright said last month that it intended to make the bid.

Share of Curtiss-Wright dropped 38 cents to $50.54 in midday trading Monday. The broader market was in a sharp sell-off following news of the collapse of investment banking firm Lehman Brothers.