MDA Space Ltd. (MDA.TO), Tuesday announced that the company has entered into an agreement to acquire the outstanding shares of Israel-based SatixFy for $2.10 per share, amounting to a total purchase price of approximately $193 million.
The all-cash deal expects to further enhance the end-to-end satellite systems offering of MDA Space as demand for next generation digital satellite communications continues to accelerate.
As per the terms of the agreement, MDA Space intends to retire SatixFy's existing debt of approximately $76 million immediately upon closing.
The transaction is expected to be accretive to MDA Space adjusted earnings in 2027, and realize cost savings within 12 months of closing.
The deal is expected to close in the third quarter of 2025.
On Monday, MDA's stock closed at C$27.49, up 1.25 percent on the Toronto.
For comments and feedback: editorial@rttnews.com