SatixFy’s Prime2 space-grade chips. Photo: Satixfy

MDA Space will acquire Israeli satellite tech company SatixFy Communications for $193 million under an agreement announced on Tuesday to boost its technology portfolio for satellite constellations. 

In 2023, MDA Space acquired SatixFy’s digital payload division for $40 million, but SatixFy retained its ASIC development and intellectual property. SatixFy’s technology is a key component of MDA Space’s Aurora satellite platform, which supports the Telesat Lightspeed constellation. 

This acquisition will now bring all of SatixFy’s technology portfolio including satellite payload chipsets, gateways, multi-beam digital antennas, user terminals, and modems into MDA Space. Approximately 165 SatixFy employees will join MDA Space as part of the acquisition. 

MDA Space CEO Mike Greenley said this will allow MDA Space to provide “vertically integrated and differentiated digital satellite solutions.” 

“With this acquisition MDA Space is taking a logical next step to further reinforce our technical differentiation as the global market transitions from analog to digital satellite technology,” Greenley said in a release. 

The deal is structured so that MDA Space will acquire all outstanding shares of SatixFy in an all-cash transaction for $2.10 per share, representing an equity value for SatixFy of approximately $193 million. 

This price per share is a 75% premium to SatixFy’s closing price on March 31, 2025 and a 52% premium to its 30-day volume weighted average price as of March 31, 2025.

The deal includes a go-shop clause for SatixFy that gives the company a 45-day period that ends on May 16 to solicit offerings from other parties. 

MDA Space also intends to retire SatixFy’s existing debt of approximately $76 million when the deal closes, which represents a total cash consideration of approximately $269 million. 

SatixFy reported its 2024 financial results on Tuesday, beating previous guidance with $20.6 million in revenue. SatixFy nearly doubled its revenue in 2024 compared to the prior year with a 92% increase.

However, the company did not meet guidance on gross margin. SatixFy had expected a gross margin of between 70% to 75%, and gross margin in 2024 was 60%.

Net loss for 2024 was $45.7 million, an increase of 54% compared to $29.6 million for 2023.