Precision Castparts ( PCP) signed a definitive agreement to acquire SPS Technologies ( ST - Get Report), a supplier of fasteners and other metal products to the aerospace, automotive and other markets, in a transaction valued at about $43.78 a share.

The total equity consideration including aftertax option payments is $575 million, and the acquisition offer will include cash and stock. Precision expects the deal to immediately add to its earnings.

Precision said it will achieve annual savings of $20 million to $25 million in the first 12 to 15 months following the acquisition's closing, with cost savings ultimately reaching $30 million to $35 million a year.

For the fiscal year ended March 30, Precision had revenue of $2.12 billion. SPS had revenue of $830.3 million for the fiscal year ended Dec. 31.

Shares of Precision, a maker of metal components and products, were gaining 77 cents, or 2.4%, to $33.54. SPS was climbing $9.64, or 28%, to $43.94.