Loral Space and Communications announced this week it has reached a definitive agreement to sell Space Systems Loral (SSL) to MacDonald, Dettwiler and Associates Ltd. (MDA). Companies using SSL satellites include Intelsat, DirecTV, EchoStar, Sirius-XM Radio, SatMex, ViaSat and SES.
Readers may not be as familiar with MDA. It was formed in 1969 by two British Columbia entrepreneurs, John MacDonald, and Werner Dettwiler with the “objective of providing innovative electronic solutions for complex customer requirements.” On June 24, MDA announced it had been selected to provide the communications payload for an Israeli satellite. Its web page says “MDA's Information Systems are typically turnkey solutions developed around proprietary and purchased technologies and services, tailored to the individual requirements of our military, civilian, and commercial customers.”
Michael B. Targoff, Chief Executive Officer of Loral Space & Communications, commented, “Combining the world-recognized communications capabilities of MDA with SS/L creates a powerful space communications leader and enhances the business prospects, both commercial and government, for each of MDA and SS/L. With this transaction, SS/L’s employees, customers and suppliers should be confident as to the long term prospects and direction for this highly valued contributor to the global communications infrastructure.”
John Celli, President of Space Systems Loral, said, “With this transaction, SS/L’s employees, customers and suppliers should be confident as to the long term prospects and direction for this highly valued contributor to the global communications infrastructure. he combination is a very good strategic fit for both companies. Together, we will be in an even stronger position to support the growth requirements of both new and existing customers.”
The deal has been approved by the Boards of Directors of each company and it is expected to close later this year after receipt of certain regulatory approvals and the satisfaction of other customary closing conditions.
