US defense contractor ManTech agrees to $3.9 billion takeover deal from Carlyle

A general view of the lobby outside the Carlyle Group offices in Washington, May 3, 2012. REUTERS/Jonathan Ernst/File Photo

May 16 (Reuters) – ManTech International Corp (MANT.O) on Monday agreed to a $3.93 billion cash buyout deal from private equity firm Carlyle Group Inc, sending the entrepreneur’s shares soaring by 11% US defense.

Carlyle said it offered $96 per share, representing a 17% premium to ManTech’s close on Friday. The enterprise value of the transaction was $4.2 billion.

The deal comes at a time when the outlook for defense mergers and acquisitions is uncertain after arms maker Lockheed Martin Corp ended its $4.4 billion proposal in February dollars to rocket engine maker Aerojet Rocketdyne Holdings Inc (AJRD.N) amid opposition from U.S. antitrust authorities. Read more

The Biden administration also released a report detailing recommendations for boosting competition in its defense industrial base, saying rapid consolidation has created a national security risk. Read more

Reuters in February exclusively reported that ManTech co-founder George Pederson was exploring options for his majority stake which included a sale of the company.

ManTech, based in Fairfax, Va., provides defense and non-defense contract services for the intelligence community, the Pentagon and other government agencies.

Reporting by Tiyashi Datta, Aishwarya Nair and Akash Sriram in Bengaluru; Editing by Shinjini Ganguli

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