Companies:

 

Articles:

 
Juniors

Quickstep Holdings the target of off-market takeover bid from ASDAM Operations

Go to Imelda Cotton author's page
By Imelda Cotton - 
Quickstep Holdings ASX QHL major contracts update ASDAM bid
Copied

Australian aerospace composite business Quickstep Holdings (ASX: QHL) has become the target of an off-market takeover bid by ASDAM Operations.

The deal is priced at $0.40 per Quickstep share, representing a 105% premium to the last closing price of $0.195.

The all-cash offer is contingent on several conditions, including a minimum 90% acceptance by Quickstep shareholders.

Sovereign capability

ASDAM provides continuing access to capital and resources to build and grow sovereign industrial capability across the areas of design, engineering, manufacturing, assembly and sustainment.

The group’s clients include defence and non-defence programs, as well as governments, defence prime contractors and other industrial companies.

ASDAM had previously submitted an offer to acquire Quickstep by way of a scheme of arrangement at a cash price of $0.43 per share.

Key negotiations

Quickstep also announced it had finalised key negotiations with Tier 1 defence customers including Lockheed Martin, Northrop Grumman and Marand Precision Engineering (part of the ASDAM group).

The company secured volumes and increased pricing for its C-139 program with Lockheed, covering four years’ worth of component deliveries commencing in 2025, with pricing adjustments effective from the new year.

The F-35 program with Northrop saw Quickstep receive a definitive purchase order for Lot 19, firming the demand for H1 component production from the financial year 2026.

Quickstep has also concluded agreements for the production of Joint Strike Fighter vertical tail components from now until June 2026 as part of its contract with Marand and BAE Systems.

Future benefits

Quickstep managing director Mark Burgess said the negotiations and July restructure of the Bankstown Aerodrome manufacturing site in New South Wales would benefit the business going forward.

“We continue to be actively engaged with all major customers and partners to identify new opportunities in traditional program component supply and new and emerging sectors,” he said.

“Interest and demand for advanced composites, along with next-generation production processes, remains strong and provides global opportunities for our company.”