SatixFy Announces Strategic $60 Million Transaction including a Commercial Agreement & Subsidiary Sale with MDA
- SatixFy's transaction with MDA strengthens its market position and opens up new markets and customers. The cooperation is expected to increase chipset sales into satellite digital payloads and lead to increased collaboration between MDA and SatixFy.
- The strategic focus on technology provision and the acquisition of SatixFy's digital payload division advances MDA's satellite systems strategy and positions them to meet growing customer demand in the Low Earth Orbit satellite communication market.
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The strategic transaction establishes cooperation between the companies, to utilize SatixFy’s revolutionary digital payload chip based technology to advanced digital satellite payloads, which the parties believe to be unparalleled in today’s market, and is expected to open up SatixFy’s solutions to broader markets as well as new customers. SatixFy has decided strategically to focus its space business on being a technology provider to satellite payload design companies offering its unique digital multi beam forming and beam-hopping on-board-processing radiation hardening chipsets.
The transaction is a combination of a
The transaction is subject to customary closing conditions, including regulatory, lender and other third party and shareholder approvals and is expected to occur in the fourth quarter of 2023.
Nir Barkan, Acting CEO of SatixFy, commented, “This landmark agreement for SatixFy with MDA, a leading provider of advanced satellite technology, is a major achievement for SatixFy. We recently took the strategic decision to focus our satellite business on our core competencies of development of groundbreaking chipsets supporting multi beam digital antennas and on board processing for the space industry and advanced ground terminals.
Today’s announcement is an integral part of that strategy and brings SatixFy’s cutting-edge space chipsets into MDA’s digital payloads, representing a strong step forward in the commercialization of our technology. It demonstrates our market leadership in providing space-grade chips technologies for next-generation satellites and positions SatixFy as a leading innovator in the satellite communications industry and strengthens our competitive positioning. Furthermore, we expect that this transaction will increase our chipset sale into satellite digital payloads and will lead to increased collaboration between MDA and SatixFy in new areas. MDA has been a steadfast SatixFy customer, and we are thrilled to fortify this relationship further. In addition, we will continue to expand our ground terminals and chipset offering to the satellite communication markets.“
“The acquisition of SatixFy’s digital payload division advances MDA’s satellite systems strategy as we continue to invest and expand in next generation satellite technology and talent to meet growing customer demand,” said Mike Greenley, CEO of MDA. “MDA and SatixFy have worked together to advance our digital satellite technology solutions and our teams are well acquainted, highly complementary and collaborative. This acquisition is a natural next step in solidifying and strengthening our market position and addressing customer demand as we continue to capitalize on the growth in the Low Earth Orbit (LEO) satellite communication market.”
About SatixFy
SatixFy develops end-to-end next-generation satellite communications systems, including satellite payloads, user terminals and modems, based on powerful chipsets that it develops in house.
SatixFy’s products include modems that feature Software Defined Radio (SDR) and Fully Electronically Steered Multi Beam Antennas (ESMA) that support the advanced communications standard DVB-S2X. SatixFy’s innovative ASICs improve the overall performance of satellite communications systems, reduce the weight and power requirements of terminals and payloads, and save real estate for gateway equipment. SatixFy’s advanced VSATs and multi-beam fully electronically steered antenna arrays are optimized for a variety of mobile applications and services, using LEO, MEO and GEO satellite communications systems, for aero/in-flight connectivity systems, high-end communications-on-the-move applications, and more.
SatixFy is headquartered in Rehovot,
For more information, please refer to www.SatixFy.com.
ABOUT MDA
Serving the world from its Canadian home and global offices, MDA (TSX:MDA) is an international space mission partner and a robotics, satellite systems and geointelligence pioneer with a 50-year story of firsts on and above the Earth. With over 2,800 employees across
Forward-Looking Statements
This press release includes “forward-looking statements” within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by the use of words such as “estimate,” “plan,” “project,” “forecast,” “intend,” “will,” “expect,” “anticipate,” “believe,” “seek,” “target” or other similar expressions that predict or indicate future events or trends or that are not statements of historical matters. Forward-looking statements are based on our management’s beliefs and assumptions and on information currently available to our management. Such statements are subject to substantial risks and uncertainties, and actual results may differ materially from those expressed or implied in the forward-looking statements due to a variety of factors, including, but not limited to, those identified under the section titled “Item 3. Key Information — D. Risk Factors” in our Annual Report on Form 20-F, filed with the Securities and Exchange Commission (the “SEC”) on May 1, 2023 (the “20-F”), and SatixFy’s other filings with the SEC from time to time. These risks and uncertainties include, but are not limited to, the following: SatixFy has limited capital currently available and will need to raise additional capital in the immediate future to fund its operations and develop its technology and chips and satellite communications systems; SatixFy may be unable to raise sufficient capital on favorable or acceptable terms, if at all, and make the necessary investments in technology development; the risk that the transaction with MDA, for the sale of all of the outstanding ordinary shares of SatixFy Space Systems
This press release contains forward–looking information within the meaning of applicable securities legislation, which reflects the Company's current expectations regarding future events. Forward–looking information is based on a number of assumptions and is subject to a number of risks and uncertainties, many of which are beyond the Company's control, which could cause actual results and events to differ materially from those that are disclosed in or implied by such forward–looking information. Such risks and uncertainties include, but are not limited to, the factors discussed under "Risk Factors" in MDA's Annual Information Form available on SEDAR at www.sedar.com. MDA does not undertake any obligation to update such forward–looking information, whether as a result of new information, future events or otherwise, except as expressly required by applicable law.
SAT-COM
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Investor Contact:
Kenny Green & Ehud Helft, EK Global IR, satixfy@ekglobal.com
Media Contact:
Helena Itzhak / Aviv Sax Nahamoni, info@satixfy.com
Source: SatixFy