REHOVOT, Israel - SatixFy Communications Ltd. (NYSE American: SATX), a developer of satellite communication technology, announced today that its shareholders have overwhelmingly approved an all-cash merger with MDA Space Ltd. (TSX:MDA), a global leader in communications satellites and space exploration with a market capitalization of $2.5 billion and annual revenue of $849 million. Over 99% of the voting shareholders backed the agreement during a special meeting. According to InvestingPro data, MDA’s stock has delivered an impressive 130% return over the past year.
The merger, which was amended and announced on May 20, 2025, is expected to close in Q3 2025, subject to regulatory approvals and customary closing conditions. SatixFy’s CEO, Nir Barkan, expressed satisfaction with the shareholder endorsement, viewing it as a validation of the strategic fit between the two companies as the industry evolves towards digital technologies. MDA’s current stock price of $20.45 sits near its 52-week high, reflecting market confidence in the company’s strategic direction.
SatixFy is known for its contributions to satellite communications, offering products that range from gateways and payload subsystems to terminals. Their technology is designed to enhance satellite communications systems’ performance, with a focus on reducing weight, power requirements, and saving space for equipment. MDA Space, with over 55 years of experience, is recognized for its pioneering work in robotics, satellite systems, and space exploration. InvestingPro analysis shows MDA maintains a "GREAT" financial health score, with robust revenue growth of nearly 50% and EBITDA of $124 million in the last twelve months.
The forward-looking statements in the news release indicate expectations for the merger’s completion but also acknowledge that there can be no assurance that the merger will be finalized as planned. The statements are based on assumptions subject to risks and uncertainties that could cause actual results to differ materially.
This announcement is based on a press release statement and does not include any speculative content or endorsement of the claims made. The information presented is intended to provide a factual report on the merger agreement between SatixFy and MDA Space.
In other recent news, MDA Space Ltd. has revised its acquisition offer for SatixFy Communications Ltd. to $280 million, increasing the purchase price to $3.00 per share in cash. This move follows the end of SatixFy’s "go-shop" period, during which an alternative all-stock offer valued at $233.5 million was received but disputed by MDA. The SatixFy Board has recommended the revised transaction, with significant shareholder support already secured. In another development, MDA Space had previously agreed to acquire SatixFy for $193 million, aiming to enhance its satellite systems capabilities. This acquisition is expected to be accretive to MDA’s adjusted earnings by 2027, with cost savings anticipated within a year of closing. Additionally, SatixFy has secured a $10.2 million order from MDA Space for space-grade chips and engineering models, further solidifying their collaboration. The order supports the development of advanced chipsets crucial for next-generation satellite communication networks. These transactions and agreements are subject to regulatory approvals and closing conditions.
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