Posted: Tue, Oct 21, 2008, 7:15 AM ET (1115 GMT)
SpaceDev announced late Monday that it has reached an agreement to be acquired by Sierra Nevada Corporation (SNC) for $38 million. SpaceDev, based in the San Diego area, is a developer of small satellites, hybrid propulsion systems, and other space technology. SNC plans to use SpaceDev to create an integrated space technologies unit, combining SpaceDev with MicroSat Systems, another smallsat manufacturer acquired by SNC early this year. The acquisition values SpaceDev at $0.68-0.72 per share; the company closed at $0.42/share on Monday before the acquisition was announced. SpaceDev is best known as the manufacturer of the hybrid rocket motors used on SpaceShipOne in its 2003 and 2004 test flights, as well as the CHIPSat smallsat for NASA and the Trailblazer satellite for the Defense Department's ORS Office. The company's founder, Jim Benson, passed away earlier this month.

Related Links:

•  Wall Street Journal article (subscription required)
•  North County (Calif.) Times
•  SpaceDev press release