Drone Maker Kratos Defense Seeks $1 Billion in Share Sale

Kratos Defense & Security Solutions Inc. is seeking to raise $1 billion in a share sale, as government spending on defense ramps up.

The San Diego-based firm is offering shares for $83 to $85 each in a share sale marketed overnight, according to people familiar with the matter. The price range represents a discount of as much as 10% to Thursday’s closing price of $92.14.

The share sale is fully subscribed following a confidential marketing effort, one of the people said, asking not to be identified as the information isn’t public.

Shares of Kratos fell 4.8% to $87.72 each in ...