Gilat Satellite Networks Acquisition of Stellar Blu: Everything You Need to Know
Gilat Satellite Networks is finalizing its acquisition of Stellar Blu Solutions, a San Diego-based provider of satcom terminal solutions. The purchase agreement between the two companies was recently amended with a new target closing date of 6 January 2025. This new date comes after both parties agreed to the change, pending all necessary approvals.
As part of the acquisition deal, Gilat will make an initial cash payment of $98 million at closing, with the potential for an additional $147 million based on post-closing financial and business performance. The financing for this acquisition will come from Gilat’s existing cash reserves and an external credit facility.
Stellar Blu Solutions will play a significant role in Gilat’s strategy for inflight connectivity growth. Their Sidewinder electronically steered antenna system has already proven successful, with airline ISPs like Intelsat and Panasonic Avionics utilizing the technology. This antenna is known for its capabilities to communicate with both Low Earth Orbit and geostationary satellites, making it a versatile and valuable addition to Gilat’s offerings.
On top of the acquisition news, Gilat has also secured over $18 million in new orders for inflight connectivity solutions, emphasizing the increasing demand for advanced connectivity solutions in the market. These orders are expected to be fulfilled within the next 12 months, highlighting Gilat’s commitment to meeting the growing needs of the IFC market.
In the realm of aero modems, Gilat is already a prominent provider in commercial aviation. Their SkyEdge IV Taurus and SkyEdge II-c modems are well-regarded in the industry, competing with other major players. Gilat’s technology supports various inflight connectivity installations, including those provided by Intelsat.
Overall, Gilat’s acquisition of Stellar Blu Solutions and the recent influx of orders showcase the company’s dedication to advancing connectivity solutions in the aviation industry. As technology continues to evolve, Gilat remains at the forefront, equipped to meet the demands of a rapidly changing market.
