Gilat Acquires Wavestream to Support Spacenet’s Government Business
-
ThE MaStEr
2010-10-14
-
Gilat Acquires Wavestream to Support Spacenet’s Government Business
October 14, 2010 | Jeffrey Hill
Gilat Satellite Networks has entered into a definitive agreement to acquire solid-state amplifier manufacturer Wavestream Corp. for approximately $130 million in cash, Gilat announced Oct. 13.
The deal will see Gilat inherit Wavestream's family of Ka, Ku, X and C-band Solid State Power Amplifiers (SSPA) and Block Upconverters (BUC) designed for mobile and fixed satellite communication systems. Upon completion of the acquisition, Wavestream will operate as a separate business unit. Wavestream’s management team has agreed to stay with the company and Cliff Cooke will remain CEO, reporting to Gilat CEO Amiram Levinberg.
Wavestream will be acquired without any cash or debt and is expected to generate revenues of approximately $70 million in 2010 and have a positive EBITDA of between 15 and 20 percent. The purchase is also to include an earn-out over the next 12 months of up to $7 million.
In a statement, Levinberg said Gilat will leverage Wavestream's technology and sales reach to enhance Spacenet Integrated Government Solutions' (SIGS) market position in the government sector. “Wavestream is a world leader in the delivery of SSPAs and has shown significant growth and profitability over the past two years. The acquisition is part of Gilat's strategy to expand business in the [U.S. Department of Defense] and international defense markets. We also consider Wavestream to be synergistic with our recent acquisition RaySat Antenna Systems.”
Gilat expects to complete the acquisition by the end of the year. While Gilat said it should complete the purchase with cash on hand, it may have to raise a limited amount of financing either before or after closing to replenish its cash reserves.
Wavestream is currently fulfilling a $19 million order from General Dynamics Satcom Technologies for high-power 50W Ka-band solid-state amplifiers to support U.S. Army and Marine Corps satellite communications systems. Wavestream CEO Cliff Cooke said his company is well positioned to benefit from a synergy with Gilat. “We hope the acquisition will enable us to expand Wavestream's growing presence in international markets, as well as utilize Wavestream's product portfolio and relationships to increase SIGS’ offerings to government customers.”
SIF TeAm-koala dm500hd_#ssl87F
Gold Wafer card update 11/10/2012
AZtrino v1.5 for Azbox Premium HD
DDD dm800hd 1.2 OE1.6
السوفت كام اليومي Softcam Keys 07-11-2011
جديد البروج نسخه Pre-Release versions of ProgDVB 6.83.4e
بلجن Mytube بتاريخ اليوم 06-08-2011
Metrix HD Skin - MetrixHD_0.121117-0131a
Powered by vBulletin® Copyright ©2000 - 2024, Jelsoft Enterprises Ltd.
LinkBack URL
About LinkBacks