Ducommun descends on pricing stock offering

Ducommun Incorporated

16/05/2023 13:29

** Shares of Ducommun Incorporated  DCO.N  down 14.1% at
$41.59 premarket as aerospace and defense products maker raises
equity
    ** Co late Mon announced 2 mln shares at $40, 17.4% discount
to last sale
    ** DCO to use expected net offering proceeds of ~$74 mln to
repay debt under credit facility used to finance $115 mln
acquisition of BLR Aerospace announced in Mar and closed in late
Apr
    ** With ~12.2 mln shares outstanding prior to offering, DCO
has ~$593 mln market cap
    ** Shares closed at $51.17 on Mar 20, a day before BLR
acquisition was revealed
    ** YTD, stock down ~3% through Mon close
    ** Goldman Sachs, Citigroup, RBC and and B. Riley Secs jt
bookrunners for equity offering

 (Lance Tupper is a Reuters market analyst. The views expressed
are his own)
 ((lance.tupper@thomsonreuters.com
lance.tupper@tr.com 1-646-279-6380))