Globalstar Files IPO

Globalstar Inc. filed a registration statement July 18 with the U.S. Securities and Exchange Commission outlining a proposed $100 million initial public offering of common stock. The number of shares to be offered as well as the price range has not been released.

The proceeds will be used to launch eight spare satellites to augment the current Globalstar constellation, launch the company’s second-generation constellation, and upgrade gateways and ground facilities.

Eutelsat Post Revenue Gains Across The Board

Eutelsat Communications reported a 5.4 percent increase in revenues to 791.1 million euros ($998.1 million) in its 2006 fiscal year, the company announced July 20.

Video applications improved 3.4 percent to 528.6 million euros ($670 million) and represented 66.8 percent of Eutelsat’s total revenues. The growth was driven by an increase in the number of channels broadcast from 1,712 in the 2005 fiscal year, which closed June 30, 2005, to 2,121 at the end of June 2006.

Data services contributed 139.2 million euros ($175.6 million) in revenues. Value-added services posted the largest percentage growth for Eutelsat, improving 22.4 percent to 29.9 million euros ($37.7 million) due to the ongoing deployment of the company’s D-Star service, which provides Internet access and virtual private networks. Sales of D-Star terminals jumped 29 percent throughout the last 12 months.

"This performance highlights the quality of the execution of our strategy: to consolidate our leading position in European Union countries, and to optimize use of capacity through the creation and development of major new video positions and the continued expansion of value added services," Giuliano Berretta, Eutelsat’s CEO, said in a statement. "… With a growing portfolio of activities across our markets, Eutelsat reaffirms its profile as one of the leading operators in the most profitable sectors of the industry, combining long-term visibility and growth."

Thales Agrees To Sell GPS Unit

Thales Co. signed an agreement to unload the majority of its satellite navigation business to an investor group led by private equity firm Shah Capital Partners for $170 million, the companies announced July 20. The deal is expected to close in the third quarter.

Thales Navigation produces consumer, survey and GIS navigation and positioning equipment and has about 600 employees located in San Dimas and Santa Clara, Calif., Moscow and Nantes, France. The company will be renamed Magellan Navigation Inc.

"Thales Navigation brings key assets toward potential growth, including leadership positions in its key markets, the strength of the Magellan brand, pervasive retail distribution, and the Hertz joint venture and Hertz Neverlost brand," Ajay Shah, managing partner at Shah, said in a statement. "We’re looking forward to working with the management to build on these successes and grow the entire business."

The Shah group includes Tudor Group, Galleon Management, Consolidated Press Holdings, AIG Sunamerica and Westwood Holdings.

Orbital Sciences Reports Second Quarter Growth

Orbital Sciences Corp. posted earnings of $9.8 million in its 2006 second quarter on revenues of $197 million, the company announced July 20. In the same period in 2005, Orbital reported earnings of $7.6 million on revenues of $177.4 million.

Growth in the second quarter, which closed June 30, was driven by a 27 percent increase in revenues in the satellites and space systems segment revenues. Improvements from $84.8 million in revenues in the 2005 second quarter to $108 million in the most recent quarter was due to an increase in the communications satellites product line. The growth was offset partially by a revenue decrease in the science, technology and defense line due to the completion and launch of a defense satellite in the second quarter. Operating income grew from $5.5 million a year ago to $7.4 million in the 2006 second quarter.

Revenues in the launch vehicles segment revenues slipped 9 percent from $87.9 million to $80.4 million due to lower revenues from the interceptor launch vehicle and the target vehicle product lines, partially offset by higher revenues from the space launch vehicle product line. Operating income in launch vehicles remained relatively flat at $8.6 million.

"Our satellite manufacturing segment posted strong revenue and operating profit growth, while our launch vehicles segment continued its solid operating income performance," David Thompson, Orbital’s chairman and CEO, said in a statement. "These operating results, combined with the robust cash flow and new business bookings achieved in the second quarter, continue to signal a very optimistic outlook for Orbital this year."

Satellite Security Corp. Completes Debt Offering

Satellite Security Corp. raised $2.9 million in a debt offering, the company announced July 18. The company, which provides GPS-based asset tracking systems and products, will use the proceeds to repay a $540,000 obligation due Aug. 31 to Double U Master Fund LP as well as other general working capital purposes.

Satellite Security also named Aidan Shields CFO effective July 14. Shields, most recently CFO at a startup merchant bank, has been working as an independent contractor for Satellite Security since June.

–Jason Bates