Axsys Technologies For Sale

NEW YORK (Reuters) – Axsys Technologies (AXYS), a manufacturer of defense surveillance and imaging systems, has put itself up for sale in an auction that drew a first round of bids on Tuesday, sources familiar with the matter said.

The sale is being handled by investment bank Jefferies, the sources said, asking not to be named because the auction has not yet been made public.

The company is asking for roughly $60 a share, causing a large value gap between the seller and possible buyers, the sources said.

Axsys shares, which have fallen more than 50 percent in the past three months, rose more than 32 percent to $35.84 in Wednesday trading, following Reuters’ news on the auction.

Axsys declined comment and a spokesman for Jefferies did not return a call seeking comment.

The Rocky Hill, Connecticut-based company makes cameras used in missile tracking systems and unmanned drones, and provides its technology to defense contractors such as Lockheed Martin Corp (LMT.N), Northrop Grumman Corp (NOC.N), Boeing Co (BA.N) and Raytheon Co (RTN.N).

(Editing by Matthew Lewis)