Ducommun Announces Public Offering of Common Stock

Rhea-AI Summary

Ducommun Incorporated has announced a public offering of 2,000,000 shares of its common stock, with an option for underwriters to purchase an additional 300,000 shares. The net proceeds will be used to repay debt from the acquisition of BLR Aerospace. Goldman Sachs, Citigroup, RBC Capital Markets, and B. Riley Securities are acting as joint book-running managers for the Offering.

SANTA ANA, Calif., May 15, 2023 (GLOBE NEWSWIRE) -- Ducommun Incorporated (NYSE:DCO) (“Ducommun” or the “Company”) today announced it has launched an underwritten public offering of 2,000,000 shares of its common stock (the “Offering”). In addition, Ducommun expects to grant the underwriters a 30-day option to purchase up to an additional 300,000 shares of its common stock.

Ducommun intends to use the net proceeds from the Offering to repay indebtedness under its revolving credit facility that was used to finance its acquisition of BLR Aerospace L.L.C.

Goldman Sachs & Co. LLC, Citigroup, RBC Capital Markets, LLC and B. Riley Securities are acting as joint book-running managers and representatives of the underwriters for the Offering.

The securities described above are being offered by Ducommun pursuant to a shelf registration statement on Form S-3 that was filed with the U.S. Securities and Exchange Commission (the “SEC”) and was declared effective on November 17, 2022. A preliminary prospectus supplement and the accompanying prospectus relating to the Offering will be filed by Ducommun with the SEC and will be available on the SEC’s website at www.sec.gov. A final prospectus supplement and the accompanying prospectus relating to the Offering will be filed by Ducommun with the SEC. The Offering will be made only by means of a prospectus, including a prospectus supplement, that forms part of the registration statement referred to above. Copies of the preliminary prospectus supplement and the accompanying prospectus relating to the Offering may be obtained by contacting: Goldman Sachs & Co. LLC, Attention: Prospectus Department, 200 West Street, New York, New York 10282, telephone: (866) 471-2526, facsimile: 212-902-9316, email: prospectus-ny@ny.email.gs.com; Citigroup, c/o Broadridge Financial Solutions, 1155 Long Island Avenue, Edgewood, NY 11717 (Tel: 800-831-9146); RBC Capital Markets, LLC, Attn: Equity Syndicate, 200 Vesey Street, 8th Floor, New York, NY 10281-8098, by telephone at (877) 822-4089 or by email at equityprospectus@rbccm.com; or B. Riley Securities by telephone at (703) 312-9580 or by email at prospectuses@brileyfin.com. This press release shall not constitute an offer to sell or the solicitation of an offer to buy, nor shall there be any sale of these securities in any state or jurisdiction in which such offer, solicitation or sale would be unlawful prior to registration or qualification under the securities laws of any such state or jurisdiction.

About Ducommun Incorporated

Ducommun Incorporated delivers value-added innovative products and manufacturing solutions to customers in the aerospace, defense and industrial markets. Founded in 1849, the Company specializes in two core areas—Electronic Systems and Structural Systems—to produce complex products and components for commercial aircraft platforms, mission-critical military and space programs, and sophisticated industrial applications.

Forward Looking Statements

This press release includes “forward-looking statements,” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, including, in particular, statements relating to the proposed Offering, the expected size of the Offering and the use of proceeds from the Offering. The Company generally uses the words “may,” “will,” “could,” “expect,” “anticipate,” “believe,” “estimate,” “plan,” “intend,” “continue” and similar expressions in this press release to identify forward-looking statements. The Company bases these forward-looking statements on its current expectations and assumptions regarding market conditions and its views with respect to the Company’s financial performance, the economy and other future conditions. Actual results could differ materially from those projected in the forward-looking statements. These forward-looking statements are subject to risks, uncertainties and assumptions, including those detailed from time to time in the Company’s periodic reports filed with the Securities and Exchange Commission. You should not put undue reliance on any forward-looking statements. You should understand that many important factors could cause the Company’s results to differ materially from those expressed or suggested in any forward-looking statement, including, without, limitation, the factors set forth under “Risk Factors” in the prospectus supplement relating to the Offering and in the Company’s Annual Report on Form 10-K for the year ended December 31, 2022. All forward-looking statements speak only as of the date on which they are made. Except as required by law, the Company does not undertake any obligation to update or revise these forward-looking statements to reflect new information or events or circumstances that occur after the date of this press release or to reflect the occurrence of unanticipated events or otherwise. Investors are advised to review the Company’s filings with the Securities and Exchange Commission (which are available from the SEC’s EDGAR database at www.sec.gov).

CONTACT:

Suman Mookerji, Senior Vice President, Chief Financial Officer, Controller and Treasurer
657.335.3665

FAQ

What is the purpose of Ducommun's public offering?

The net proceeds from the offering will be used to repay debt from the acquisition of BLR Aerospace.

How many shares are being offered?

Ducommun is offering 2,000,000 shares of its common stock, with an option for underwriters to purchase an additional 300,000 shares.

Who are the joint book-running managers for the offering?

Goldman Sachs, Citigroup, RBC Capital Markets, and B. Riley Securities are acting as joint book-running managers for the offering.

Where can I find more information about the offering?

More information about the offering can be obtained from the preliminary prospectus supplement and accompanying prospectus, which will be filed by Ducommun with the SEC.

How can I obtain copies of the prospectus?

Copies of the preliminary prospectus supplement and accompanying prospectus can be obtained by contacting Goldman Sachs, Citigroup, RBC Capital Markets, or B. Riley Securities.