The merger of ATK’s [ATK] aerospace and defense business with Orbital Sciences [ORB] cleared two low hurdles on Tuesday as the deal moved toward completion early in February.
Of the votes cast as separate shareholder meetings, 97 percent of ATK’s shareholders approved the issuance of the company’s common stock to Orbital stockholders in connection with the merger plans while about 99 percent of Orbital shareholders favored the combination. The deal is still expected to conclude on Feb. 9 and Orbital ATK’s stock will begin trading on the New York Stock Exchange on Feb. 10 under the ticker symbol “OA.”
“Today, Orbital’s stockholders endorsed the proposed merger with ATK’s Aerospace and Defense Groups by voting strongly in favor of the transaction, as did ATK shareholders at a separate special meeting also held earlier today,” David Thompson, Orbital’s chairman and CEO, said in a statement. “We are now on a clear path to completing the merger and beginning operations of Orbital ATK two weeks from today.”
Once the merger is complete, ATK shareholders will own about 53.8 percent of the new company and Orbital shareholders 46.2 percent.
As part of its path forward, ATK plans to spin off its Sporting business into a separately traded company called Vista Outdoor. The spin will occur immediately before the merger with Orbital.