* Sees about $50 mln in additional revenue in 2010
* Sees deal adding modestly to 2010 earnings
* Aims to boost existing product line through buy
* Shares rise as much as 2 percent
The deal takes the maker of small rockets and satellites closer towards its strategy of addressing the soaring demand for medium and small-class satellites.
Orbital, which has been investing in the development of a new medium-class commercial satellite bus called STAR 2.7 with a focus on the commercial sector, is expected to use the new acquisition to boost position in the government sector.
"It fits perfectly with our overall strategy to extend the product lines ... With the GD technology now being added in, these new products should more than double Orbital's addressable market over the next few years," Chief Executive David Thompson said on a conference call with analysts.
The deal, which is expected to close in early April, will also add modestly to 2010 earnings, the company said in a filing with the U.S. Securities and Exchange Commission.
On Thursday, the company had said it agreed to acquire the business from GD Advanced Information Systems, a unit of General Dynamics, mainly to add medium-class low-Earth orbit satellites to its existing product line. [ID:nWNAB5690]
Orbital also said it was looking at expanding customer relations, increasing technical staff and contributing modern industrial facilities through the buy.
Dulles, Virginia-based Orbital Sciences also makes small-class space and rocket systems for commercial, military, intelligence and civil government customers.
Shares of Orbital Sciences were up about 1 percent at $18.75 in mid-day trade on the New York Stock Exchange. General Dynamics shares were up about 1 percent at $73.27. (Reporting by Bijoy Koyitty in Bangalore; Editing by Aradhana Aravindan and Maju Samuel)
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