Consortium led by Northern Private Capital Signs Definitive Agreement to Acquire MDA, Canada’s Leading Space Technology Com...
December 30 2019 - 6:11AM
A consortium led by Northern Private Capital (NPC), a Toronto-based
investment firm led by John Risley and Andrew Lapham, announced
today it has signed a definitive agreement to acquire MDA from
Maxar Technologies (NYSE:MAXR)(TSX:MAXR) for CAD $1 billion.
Upon closing, MDA’s corporate headquarters will return to Canada.
Founded in 1969, MDA is Canada’s largest space technology
developer and manufacturer, with over 1,900 employees across
Canada. Through a strong collaboration and partnership with the
Government of Canada that spans several decades, the company has
delivered world-leading, iconic technologies such as the Canadarm
family of space robotics for the U.S. Space Shuttle program and the
International Space Station and three generations of RADARSAT Earth
observation satellites for the Canadian government.
Under the terms of the agreement, the NPC-led consortium will
acquire all of MDA’s operations across Canada and the UK. The
transaction is not subject to any shareholder approvals and is
expected to close in 2020 following receipt of regulatory
approvals.
“Over its 50-year history, MDA has grown from a BC-based
start-up into a world-class space technology company and an anchor
of Canada’s space program,” said John Risley. “We are thrilled to
partner with Mike Greenley and the rest of the MDA team and are
excited about the significant growth potential we see for the
company. As a Canadian, I am so proud this iconic Canadian company
will once again be owned and controlled in Canada.”
The acquisition is being financed with a combination of equity
and debt. Equity is being provided by NPC and certain of its
limited partners, as well as several leading investors including
Jim Balsillie and Senvest Capital along with funds managed by
Senvest Management. Debt is being provided by Scotiabank, Bank of
Montreal, PointNorth Capital and Canso Investment Counsel. NPC is
being advised by BMO Capital Markets and Scotiabank.
About Northern Private CapitalNorthern Private
Capital is a Toronto-based private investment firm focused on
making opportunistic, long-term investments in partnership with
great management teams. NPC invests in proven businesses with high
growth potential driven by unique, proprietary technology across a
broad spectrum of industries. NPC is currently investing from its
inaugural flagship fund which includes commitments from world-class
entrepreneurs, including a significant commitment from John
Risley.
Contact:Andrew
Laphamalapham@npcapital.com416-925-6609
Maxar Technologies (TSX:MAXR)
Historical Stock Chart
From Mar 2024 to Apr 2024
Maxar Technologies (TSX:MAXR)
Historical Stock Chart
From Apr 2023 to Apr 2024