Viasat, a Carlsbad-based global satellite communications company, announced a deal to buy Britian’s Inmarsat for $7.3 billion.
London-based Inmarsat operates a fleet of satellites providing global phone and data connections, while Viasat serves commercial aviation and military markets with its communications satellites.
The deal includes $850 million in cash, approximately 46 million Viasat shares valued at $3.1 billion and the assumption of $3.4 billion of net debt.
“This strategic move gives Viasat the scale to increase the pace of innovation that drives new and better services for our customers, broadens the opportunities for our employees and provides a foundation for significant positive free cash flow,” said Rick Baldridge, Viasat’s president and CEO.
The agreement was announced in London earlier this week.
The combined company will operate multi-band, multi-orbit satellites to deliver higher data speeds and create a global high-capacity network serving commercial and military customers.
“Together, we can advance broadband communications and create new hybrid space and terrestrial networks that drive greater performance, coverage, speed, reliability and value for customers,” said Viasat’s Executive Chairman Mark Dankberg. “We look forward to welcoming the Inmarsat team into the Viasat family.”
