Loral Space & Communications Inc. announced Tuesday, June 26, that it will sell its Palo Alto-based subsidiary Space Systems/Loral in a deal that could top $1 billion.
The sale will be made to Canada-based MacDonald, Dettwiler and Associates Ltd.
"Both Space Systems/Loral and MacDonald, Dettwiler and Associates are already important suppliers to the worldwide satellite industry," John Celli, President of Space Systems/Loral, stated in a press release. "The 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 Boards of Directors of Loral and MacDonald, Dettwiler and Associates have each approved the agreement and the sale is expected to close later this year after certain regulatory approvals and customary closing conditions are completed.
Loral Space & Communications is a satellite communications company that designs and manufactures satellites and satellite systems for commercial and government applications. Services include fixed satellite services, direct-to-home television, broadband communications, wireless telephony, weather monitoring and air-traffic management.