Feeds

NewSat seeks $AU36m to get into orbit

Suppliers turn in the pressure

Security for virtualized datacentres

Australian satellite communications company NewSat is raising $AU36 million to help accelerate its pending satellite launch, pay suppliers and strengthen its balance sheet.

NewSat's Jabiru-1 geostationary communications satellite will provide high capacity to military, defence and government markets as well as other enterprise segments such as resources. It is expected to launch in mid-2014.

The need for speedy cash has been sparked by Lockheed Martin, NewSat’s satellite manufacturer, which is currently fast tracking the procurement of critical components of the satellite and is demanding capital earlier than expected.

NewSat said in an Australian Securities Exchange statement that it has already commenced contributing funds to the procurement, and will continue to contribute in accordance with the satellite procurement agreement.

NewSat will also use the new funds to make a payment to Arianespace for their provision of launch facilities for the satellite.

As part of the capital raising, $10 million has already been placed with sophisticated investors and international financial institutions via financial advisers Lazard.

The rights issue will be offered on the basis of one new share for every four shares held, at an application price of 60 cents per share, which if fully subscribed would raise $AU26 million.

NewSat has currently applied to the French and US based export credit agencies for funding for Jabiru-1. Final approvals are expected early in the second quarter of 2012.

“So far we have secured $US346 million in prelaunch customer contracts and have a promising $US575 million sales pipeline, all of which have assisted us to successfully move to the next stage of export credit funding with US Ex-Im Bank and Coface,” said, NewSat Founder and CEO Adrian Ballintine.

He added that NewSat was rapidly transforming from a Teleport operator into a global satellite operator, with an aggressive multiple satellite strategy. ®

Security and trust: The backbone of doing business over the internet

More from The Register

next story
Phones 4u slips into administration after EE cuts ties with Brit mobe retailer
More than 5,500 jobs could be axed if rescue mission fails
JINGS! Microsoft Bing called Scots indyref RIGHT!
Redmond sporran metrics get one in the ten ring
Driving with an Apple Watch could land you with a £100 FINE
Bad news for tech-addicted fanbois behind the wheel
Phones 4u website DIES as wounded mobe retailer struggles to stay above water
Founder blames 'ruthless network partners' for implosion
Sony says year's losses will be FOUR TIMES DEEPER than thought
Losses of more than $2 BILLION loom over troubled Japanese corp
Radio hams can encrypt, in emergencies, says Ofcom
Consultation promises new spectrum and hints at relaxed licence conditions
Why Oracle CEO Larry Ellison had to go ... Except he hasn't
Silicon Valley's veteran seadog in piratical Putin impression
Big Content Australia just blew a big hole in its credibility
AHEDA's research on average content prices did not expose methodology, so appears less than rigourous
prev story

Whitepapers

Secure remote control for conventional and virtual desktops
Balancing user privacy and privileged access, in accordance with compliance frameworks and legislation. Evaluating any potential remote control choice.
WIN a very cool portable ZX Spectrum
Win a one-off portable Spectrum built by legendary hardware hacker Ben Heck
Storage capacity and performance optimization at Mizuno USA
Mizuno USA turn to Tegile storage technology to solve both their SAN and backup issues.
High Performance for All
While HPC is not new, it has traditionally been seen as a specialist area – is it now geared up to meet more mainstream requirements?
The next step in data security
With recent increased privacy concerns and computers becoming more powerful, the chance of hackers being able to crack smaller-sized RSA keys increases.