L-3 Communications Holdings Inc. on Friday said it would buy Titan Corp. for about $2 billion in cash, expanding its reach in defense-intelligence services.
Under the terms of the deal, San Diego-based Titan shareholders will receive $23.10 per share in cash, a modest 1.4 percent premium to the stock’s closing price of $22.79 on Thursday. The stock had run up in recent weeks in anticipation of a transaction. L-3 will also take on Titan debt, making the deal worth about $2.7 billion overall. The deal is scheduled to close in the second half of 2005.
