Woodward, Hexcel To Terminate Merger - Quick Facts

(RTTNews) - Woodward, Inc. (WWD) and Hexcel Corp. (HXL) have mutually agreed to terminate their merger deal. The companies concluded that given the significant uncertainty in the market caused by the COVID-19 pandemic, it would not be prudent to continue to pursue the combination. Neither party will be required to pay the other a termination fee.

Separately, Hexcel Corp. announced a number of actions in response to the impact from COVID-19. Hexcel will reduce costs through curtailing capital expenditures, and evaluating employment levels to align with lower customer demand.

Hexcel also announced that its Board has adopted a limited duration shareholder rights plan. In connection with this, the Board declared a dividend distribution of one preferred share purchase right on each outstanding share of Hexcel common stock.

Hexcel plans to hold its 2020 annual meeting of shareholders on June 1, 2020.