Canada’s Telesat to go public
Telesat Canada is to become Telesat Corporation and list on the NASDAQ.
The new, public company will be headquartered Ottawa, Canada, and headed by Telesat Canada CEO, Daniel S. Goldberg (pictured).
The news followed an agreement between Telesat Canada, Loral Space and Communications Inc. (NASDAQ: LORL), and Public Sector Pension Investment Board (PSP Investments). The terms of the agreement will see Telesat Canada and Loral become subsidiaries of Telesat Corporation (Telesat).
In addition to the NASDAQ listing, Telesat is considering a second listing on a Canadian stock exchange in connection with the closing of the transaction in “the second or third quarter” of 2021.
“Today’s announcement rationalises our corporate structure and is another important step in our efforts to execute our exciting growth strategy, deliver the most competitive and innovative services to our customers, and create value for our shareholders and other key stakeholders,” said Goldberg.
“Following the closing of the transaction, Telesat will have access to the public equity markets, providing increased flexibility and optionality to support our promising investment opportunities, including Telesat LEO, which will bridge the digital divide both at home in Canada and around the world, and give our customers the competitive advantage they need to be successful. We look forward to engaging with our expanded shareholder base as we implement our growth plans with a focus on generating strong equity returns,” Goldberg continued.
Proceeds from the IPO will be re-invested in Telesat’s “compelling growth initiatives”, including its LEO satellite constellation. Currently, it comprises 298 satellites integrated with terrestrial data networks.