Speedcast International, a company headquartered in Hong Kong and listed on the Australian Stock Exchange, has completed acquisition of UltiSat, a US-based company. Both companies provide satellite communications solutions.
The deal was announced in July this year, when Speedcast said it would acquire UltiSat in a cash transaction of up to US$100m, payable over 2 years and subject to the ongoing financial performance of the company.
Speedcast’s interest in UltiSat stems from the latter’s government client base, in particular the U.S. government. This, Speedcast says, will accelerate its growth in a vertical worth over US$ 4.8 billion per annum.
Under the arrangement, UltiSat will become a wholly-owned subsidiary of Speedcast International Limited, with UltiSat CEO Mohammed G. Abutaleb heading a newly-created Government Division.
Said Speedcast CEO Pierre-Jean Beylier in an earlier press release, ““The acquisition of UltiSat extends Speedcast’s position serving Government and NGO customers. UltiSat has built a really strong reputation providing remote communications and professional services to key customers, such as the U.S. Government and IGOs.”
“The UltiSat team is thrilled to join the Speedcast Group. Speedcast’s scale and global capabilities will enable us to expand the portfolio of services we can offer to our customers and to pursue new opportunities. This is an exciting development for our employees and our customers, and I look forward to taking our Government and IGO business to new heights over the years to come,” said Mr. Abutaleb.
This is the latest in a series of acquisitions Speedcast has made over the past few years. Since 2012, it has acquired Australian Satellite Comms, Elektrikom, Pactel, Satcom, Oceanic Broadband, Hermes Datacomms, Geolink Satellite Services, NewSat, SAIT Communication, ST Teleport, NewCom International, WINS System, and Harris Caprock.
Today, Speedcast also announced a strategic alliance with SRH Marine, a marine electronics service provider based in Greece.