NEW YORK, Nov. 6 (UPI) -- The sale of Loral Space and Communications Inc.'s U.S. subsidiary, Space Systems/Loral, to a Canadian company has been completed.
Loral said it received $968 million in cash from MacDonald, Dettwiler and Associates Ltd. -- plus a bank-guaranteed, three-year promissory note in the amount of $101 million for the purchase of certain real estate used in connection with SS/L's business.
"We are exceptionally pleased that we have closed the SS/L sale transaction at a value that recognizes SS/L's leadership and premier position in the global satellite manufacturing business," said Chief Executive Officer of Loral Space and Communications Michael B. Targoff.
"We are confident that the combination of SS/L with MDA will benefit SS/L's employees, customers and suppliers and the entire satellite communications industry."
Loral Chairman of the Board Mark Rachesky said Loral is evaluating the opportunity to transfer net cash proceeds from the sale to its shareholders through a cash distribution arrangement.
