[Satellite TODAY 02-15-11] EchoStar entered into an agreement acquire Hughes Communications and its subsidiaries, including its main operating subsidiary Hughes Network Systems, for about $2 billion, EchoStar announced Feb. 14.
    The transaction, which has been approved by the boards of both companies as well as by Apollo Management, Hughes’ previous majority stockholder, will see EchoStar pay Hughes’ shareholders $60.70 per share without interest. The payment includes a 31 percent premium from Hughes’ Jan. 19 closing share price of $46.43. In January, analysts speculated that Apollo’s auction of Hughes would generate a per-share price in the mid-$60 region.
    EchoStar president and CEO Michael Dugan said the transaction aims to enhance his company’s video and data broadband transport capabilities. “There is a unique and compelling fit between Hughes and EchoStar. With a rich engineering culture, an extensive fleet of owned and leased satellites and experienced personnel in communications centers around the world, the combination of EchoStar and Hughes will create a powerful leader in video and data transport,” Dugan said in a statement.
    The transaction is expected to close later this year, subject to closing conditions and federal regulatory approvals.

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