MDA announced it has signed an agreement to acquire Space Systems/Loral (SS/L) for $875 million. SS/L, headquartered in Palo Alto, Calif., is a global provider of commercial communications satellites. The acquisition will help Canada-based MDA establish stronger footholds in the commercial communications and U.S. markets.
“This is a game changing transaction for our company,” said Daniel Friedmann, MDA’s president and CEO, in a June 26 press release. “With one move, we are bringing together two market leaders to create a unique global communications and information company with a strong commercial focus. Post-acquisition, more than two-thirds of MDA’s total revenues will come from the commercial market.”
Following the acquisition, MDA will have combined annual revenues of $1.9 billion (calendar year 2011), and a combined backlog of $2.8 billion (March 31, 2012), according to the press release.
MDA hosted a conference call and webcast at 8:30 a.m. EST June 27. You can access the call-in information, as well as slides and an instant replay of the call here.