The U.S. subsidiary of Australia-based defense and space company Electro Optic Systems has agreed to acquire Audacy for approximately $6.7M in a move to leverage the latter’s spectrum license for microwave communications.
EOS Defense Systems USA intends to file for a U.S. Committee on Foreign Investment review of the transaction and expects to complete the acquisition by mid-2020, EOS said Tuesday.
The Federal Communications Commission gave Audacy permission in 2018 to use portion of the microwave spectrum for communications with specific satellites and ground terminals. Under an FAA spectrum license, Audacy must launch a constellation of communications satellites designed to operate in mid-Earth orbit by 2024.
John Berry, chairman of EOS Defense Systems, said will work to build an MEO satellite network for government and commercial customers upon closing of the deal.
According to EOS, the deal would open an opportunity for the company to offer its communications technology in the space market and support its push to build wideband communications terminals following the acquisition of EM Solutions in September.
EOSDS is headquartered in Hunstville, Ala., and originally aimed to produce remotely controlled weapon systems and counter-unmanned aerial system platforms.
