Ducommun shares popped more than 15% after the supplier of electric systems for aerospace and defense customers confirmed it has received an unsolicited offer from investment firm Albion River to acquire the company for $878.4 million.
It said Albion River has offered it $60 per share, a premium to its share price of about $48 at Friday’s close.
Shares of Ducommun added 15.3% at about $56 late morning on Monday.
The company said it in consultation with its financial and legal advisors would carefully review and consider the proposal to determine if it is in the best interest of it and its shareholders.
RBC Capital Markets, LLC is acting as a financial advisor to Ducommun, and Simpson Thacher & Bartlett LLP is acting as legal counsel.
It said its shareholders do not need to take any action at this time.
Founded in 1849, California-based Ducommun delivers value-added manufacturing solutions to customers in the aerospace, defense and industrial markets.