Rafael Nearly Doubles Bid on Aeronautics

Rafael and businessman Avihai Stolero offered to acquire Aeronautics at a valuation of $231 million, nearly twice as high as their $116.6 million bid rejected by the Israeli drone maker in August

Israeli defense contractor Rafael Advanced Defense Systems and Israeli businessman Avihai Stolero have nearly doubled their earlier bid for Israeli drone maker Aeronautics and are looking to acquire all of the company’s stock at a valuation of NIS 850 million (approximately $231 million), Aeronautics announced Sunday in a filing to the Tel Aviv Stock Exchange.

Aeronautics stated it has agreed to enter into exclusive negotiations with Rafael and Stolero. The offer was made to Aeronautics by an unnamed company owned jointly by Rafael and Stolero on Saturday and is pending a due diligence process to be completed by March 1 at the latest. If the deal is successful, Aeronautics will delist from the Tel Aviv Stock Exchange, becoming a private company once more, according to the statement.

In August, Aeronautics rejected a NIS 430 million (approximately $116.6 million) acquisition offer from Rafael and Stolero.

Earlier this month, Aeronautics announced it is in negotiations with government-owned defense contractor Israel Aerospace Industries Ltd. (IAI) and several third parties concerning a possible acquisition.

In January, Aeronautics announced it had signed a five-year partnership deal with Rafael to collaborate on the development, production, marketing, and distribution of an unmanned aerial system.

 

First published on calcalistech.com

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