NEW YORK (Dow Jones News) -- L-3 Communications Holdings Inc. said Thursday it agreed to acquire Microdyne Corp. for $5 a share, or $65.5 million.

Including the $24.5 million in debt that L-3 will assume, the deal, which is expected to close early next year, has a total value of $90 million.Microdyne is an Alexandria, Va.-based aerospace electronics developer and manufacturer of aerospace electronics. On a pro forma basis, it had revenue of $73.5 million in the year ended Sept. 30.

New York-based L-3 Communications was created last year from 10 non-core businesses spun off by defense contractor Lockheed Martin Corp. The maker of secure communications systems for the military and other businesses had sales of $708.3 million in the first nine months of 1998.

L-3's offer represents a 16 percent premium on Microdyne's Wednesday closing price of $4.31 1/4 on the Nasdaq Stock Market.

In morning trading, shares of Microdyne were up 10.9 percent, or 47 cents, to $4.78.