- ViaSat, Inc. VSAT weighed the sale of part of its government services unit, Bloomberg reports.
- The geostationary satellite company has considered selling the part of the division providing encryption technology, which could fetch up to $1.8 billion.
- The venture, likely to attract interest from other defense companies and private equity firms, generated $120 million in annual EBITDA.
- The unit provided products that help customers, including government, encrypt communications.
- The update coincided with ViaSat looking to complete its peer purchase. Inmarsat Group Holdings Ltdcreating a company with a fleet of 19 satellites and more to come to counter the rise of Tesla, Inc. TSLA Starlink and OneWeb from Chief Elon Musk.
- The European Space Agency (ESA) has chosen ViaSat to conduct a Multilayer Satellite Communication (SATCOM) study.
- Recently, ViaSat announced the delivery of the second ViaSat-3 payload module to Boeing’s facility in El Segundo, California. The second ViaSat-3 class satellite will likely provide broadband service over Europe, the Middle East and Africa (EMEA) in 2023.
- Price action: VSAT shares closed up 2.25% at $28.68 on Tuesday.
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