(RTTNews) - Servotronics, Inc. (SVT) announced an amendment to its Agreement and Plan of Merger with TransDigm Group Inc. (TDG), under which a subsidiary of TransDigm will acquire Servotronics for $47.00 per share in cash, up from the previous offer.
The previous offer, announced on May 19, was at $38.50 per share in cash, valued at $110 million.
The amendment was made after Servotronics notified TransDigm about receiving an unsolicited, third-party acquisition proposal.
After evaluation, Servotronics' Board concluded that the new third-party offer did not constitute a superior proposal under the agreement, and opted to proceed with TransDigm under the revised terms.
The merger will proceed through a tender offer by a TransDigm subsidiary to acquire all issued and outstanding Servotronics shares. Additional information will be provided in a Form 8-K filing with the SEC.
Servotronics will continues to manufacture servo-control components and other aerospace technologies for both commercial and defense markets from its facilities in Elma and Franklinville, New York.
Currently, SVT is trading at $46.61, up by 23.01 percent on the New York Stock Exchange.
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