NEW YORK — Precision Castparts Corp. (PCC) announced late Friday that it has entered into a definitive agreement to acquire Titanium Metals Corp. (Timet) for $16.50 per share in a cash deal valued at about $2.9 billion.

"Timet will provide us with the titanium capability that has always been a key missing piece of our overall product portfolio," Mark Donegan, chairman and chief executive officer of Portland, Ore.-based PCC said in a statement. "Timet’s melting expertise and PCC’s forging and conversion assets are a complementary strategic fit."

Donegan called the deal "truly a needle mover, one that offers PCC and our customers a wide range of opportunities going forward."

The boards of directors at both companies have each unanimously approved the multi-billion dollar transaction.

Under the terms of the deal. PCC will launch a tender offer to acquire 100-percent of Timet’s outstanding common stock by Nov. 20, the companies said.