LLAP - Why Terran Orbital Stock Soared 20% This Week
2024-03-30 06:32:33 ET
Shares of Terran Orbital (NYSE: LLAP) popped 20% this week, according to data from S&P Global Market Intelligence , after the company delayed its scheduled quarterly update until next week. The move triggered fresh speculation that the company may be entertaining an improved acquisition offer from partner and minority shareholder Lockheed Martin (NYSE: LMT) .
Terran Orbital was previously scheduled to release its fourth-quarter and full-year 2023 results on March 26. On Monday, however, the company issued a press release stating that it now expects to fill its upcoming annual report with the U.S. Securities and Exchange Commission on April 1 and will hold an earnings call the following morning.
Such delays aren't normally positive catalysts. But Terran's situation becomes much more interesting when we note that, earlier this month, it received a $1-per-share buyout offer from partner and minority stakeholder Lockheed Martin. Terran's board subsequently adopted a temporary " poison bill " shareholder rights plan along with a strategic review of the business. The move effectively paused Lockheed's effort and gave the company more time to consider its options -- including soliciting a potentially higher bid from Lockheed or other prospective suitors.
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Why Terran Orbital Stock Soared 20% This Week