Private equity firm, Cerberus Capital Management LP, is going to buy out DynCorp International Inc. The total amount involved will be $1 billion.

The announcement was made by DynCrop after looking into the deal for over a month and also waiting for a better suitor.

DynCrop is into the business of logistics, which is currently showing good growth figures. It also provides technical and professional services in the field of base operations, drug eradication, law enforcement and security.

Meanwhile, as per the details of the deal, the total value of DynCrop is calculated to be $1.5 billion. This includes debts too.

After the deal, the shareholders are going to receive $17.55 as premium over their share price. This boils down to 49 per cent higher price than its share price.

The premium was calculated based on the price available on Friday at 4 PM at the New York Stock Exchange.

The share price of the company was $11.75, which is 18 per cent lesser than last year.

The shareholders of DynCrop have not given their approval for the deal. Veritas Capital Fund Management LLC, owner of 35 per cent of DynCrop, has agreed to the deal.