Advent International, a private equity company, will acquire American space technology company Maxar Technologies for an enterprise value of around $6.4 billion.

The all-cash deal is expected to help Maxar Technologies to fast-track the development of its next-generation satellite technologies and data insights for its government and commercial customers.

In addition, the deal is expected to help the American space technology company to further increase the company’s portfolio, including the new Legion satellite constellation, Legion 7 and 8 satellites, as well as advanced machine learning and 3D mapping.

Shonnel Malani — Advent International Managing Director and aerospace and defense team global head said: “In our view, Maxar is a uniquely positioned and attractive asset in satellite manufacturing and space-based high-resolution imagery, with an incredible workforce and many opportunities ahead.

“We have strong conviction in the growing need for the differentiated solutions Maxar provides, and our goal is to invest in expanding Maxar’s satellite constellation as well as supporting Maxar’s team to push the boundaries of innovation, ensuring mission success for its customers.”

Post-closing, Maxar Technologies will continue to be a US-controlled and operated company under the same brand and retain its existing headquarters in Westminster, Colorado.

Daniel Jablonsky — Maxar Technologies President and CEO said: “Advent has a proven record of strengthening its portfolio companies and a desire to support Maxar in advancing our long-term strategic objectives.

“As a private company, we will have enhanced flexibility and additional resources to build on Maxar’s strong foundation, further scale operations and capture the significant opportunities in a rapidly expanding market.”

Capital market company British Columbia Investment Management is expected to provide a minority equity investment through a committed aggregate equity contribution of up to $1 billion.

The arrangement will also permit the Maxar Technologies Board of Directors and its advisors to actively initiate, solicit and consider alternative acquisition proposals from third parties during a 60-day “go-shop” period expiring on 14 February 2023.

J.P. Morgan Securities is acting as financial advisor to Maxar Technologies while Goldman Sachs & Co. and Morgan Stanley & Co. are serving as financial advisors to Advent International.

Subject to regulatory and Maxar Technologies’ stockholders’ approvals as well as customary closing conditions, the transaction is likely to complete in mid-2023.

  Advent International, Daniel Jablonsky, Maxar Technologies, Shonnel Malani, USA