Deal Details

Kratos Completes $345.0 Million Follow-On Offering

Industrial
Technology & Services

Kratos follow-on offering

Summary

Kratos Defense & Security Solutions, Inc. (NASDAQ: KTOS) (“Kratos” or “the Company”) recently completed a public offering of 19,166,667 shares of its common stock, including 2,500,000 shares sold pursuant to full exercise of the underwriters’ option to purchase additional shares, at a price of $18.00 per share, generating gross proceeds to Kratos of approximately $345.0 million. Kratos expects to use the net proceeds to facilitate its long-term strategy including potential investment in facilities and expansion of its manufacturing capacity; capital expenditures related to anticipated growth in current programs and high probability pipeline opportunities; and strengthening the Company’s balance sheet to meet the requirements for large new contracts and opportunities.

Kratos is an innovative developer of next-generation defense technology solutions in operationally critical areas of unmanned systems, C5ISR, space communications, and hypersonic / propulsion technologies. The Company has established itself as a leader in the emerging DefenseTech sector, rapidly developing and deploying innovative and cost-effective products and technologies that disrupt traditional business models in the national security market.

Baird served as the lead bookrunner on this offering.

About

Kratos Defense & Security Solutions, Inc. is a technology, products, systems, and software company addressing the defense, national security, and commercial markets. Kratos rapidly develops, produces, and fields solutions that address their customers’ mission critical needs and requirements.

At Kratos, affordability is a technology, and they seek to utilize proven, leading-edge approaches and technology, enabling them to be first to market with cost-effective solutions. Kratos is known as an innovative disruptive change agent in the industry, a company that is an expert in designing products and systems up front for successful rapid, large quantity, low-cost future manufacturing. Kratos primary business areas include virtualized ground systems for satellites and space vehicles including software for command & control (C2) and telemetry, tracking and control (TT&C), jet powered unmanned aerial drone systems, hypersonic vehicles and rocket systems, propulsion systems for drones, missiles, loitering munitions, supersonic systems, space craft and launch systems, C5ISR and microwave electronic products for missile, radar, missile defense, space, satellite, counter UAS, directed energy, communication and other systems, and virtual & augmented reality training systems for the warfighter. Kratos is headquartered in San Diego, California.

Industrial
Technology & Services

Kratos follow-on offering