Private investment firm Cerberus Capital Management will acquire DynCorp International (NYSE: DCP) for roughly $1.5 billion, according to a DynCorp press release.
DynCorp’s news release said that its board of directors will recommend that stockholders approve the transaction. According to the deal’s terms, stockholders will receive $17.55 in cash for each share of DynCorp common stock. Cerberus plans to finance the deal through Bank of America Merrill Lynch, Citigroup Global Markets, Barclays Bank PLC and Deutsche Bank Securities.
DynCorp President and CEO Bill Ballhaus said “I believe that under this partnership with Cerberus, DynCorp International will be able to build on our extensive heritage and successful performance to continue to achieve our growth objectives.” He added, “this transaction is a major milestone for DynCorp International’s continued leadership in serving our customers and supporting U.S. national security and foreign policy objectives.”