Tandberg, Ericsson

Tandberg TV’s board has extended a unanimous recommendation to shareholders that they accept Ericsson’s buyout offer, Tandberg announced March 7.

Ericsson made an unsolicited offer Feb. 26 to acquire Tandberg for 9.8 billion Norwegian kroner ($1.6 billion). Ericsson has acquired 11.7 percent of the outstanding shares in Tandberg and has entered into agreements to acquire another 13 percent, Ericsson said.

Ericsson’s unsolicited offer "represents a compelling opportunity for the shareholders of Tandberg Television and a superior offer compared to the offer of Arris [Group Inc.]," Tandberg’s board said. Tandberg would operate as a wholly owned subsidiary of Ericsson and strengthen Ericsson’s position in Internet protocol TV (IPTV) offerings.

Telesat

Telesat Canada reported revenues of 479 million Canadian dollars ($407.1 million) in 2006, up slightly from revenues of 474.7 million Canadian dollars ($403.4 million) in 2005, the company announced March 8.

Telesat reported earnings of 102.5 million Canadian dollars ($87.1 million), up 15 percent from earnings of 88.9 million Canadian dollars ($75.6 million) in 2005.

In December, Telesat and Loral Space & Communications Inc. announced they will combine their Fixed Satellite Services operations under a new Canadian company. Loral and its partner, Canada’s Public Sector Pension Investment Board (PSP Investments), will acquire 100 percent of the stock of Telesat Canada from parent company BCE Inc. for $2.8 billion as well as the assumption of $148 million in debt.

The Telesat operations will be combined with Loral Skynet’s business under a new organization named Telesat. The Canadian-controlled and Ottawa-based company will be the world’s fourth-largest satellite operator with 11 on-orbit spacecraft and an additional four satellites scheduled to be placed into orbit throughout the next three years. The combined operations’ recorded revenues of $568 million in the year ended Sept. 30, and the new Telesat will have a backlog of $4.9 billion.

EMS

EMS Technologies Inc. reported revenues of $261.1 million and earnings of $30 million in 2006, the company announced March 5. In 2005, EMS lost $11.4 million on revenues of $225.9 million.

"Our people did a great job in the fourth quarter and we had terrific execution across the entire company," Paul Domorski, president and CEO, said in a statement. "The LXE and Satcom businesses remained on a profitable growth track, achieving sales and profit records, and the Defense & Space Systems business is building an impressive backlog and positioning itself well for the future."

The largest contributor to growth in the Satcom unit remains the aeronautical sector, EMS said. "A potentially important development in this market is the use of our high-speed terminals in aircraft avionics systems that also provide onboard GSM wireless service," EMS said. The service is being rolled out by service providers OnAir and AeroMobile to airlines including Ryan Air, Air France, United Emirates and Qantas.

AsiaSat

Asia Satellite Telecommunications Holdings Ltd. (AsiaSat) earned 454 million Hong Kong dollars ($58 million) on revenues of 929.9 million Hong Kong dollars ($119 million) in 2006, the company announced March 5. In 2005, the company reported profits of 366.2 million Hong Kong dollars ($46.8 million) on revenues of 879.7 million Hong Kong dollars ($112.5 million). Transponder usage among AsiaSat’s fleet improved 6 percent.

"Economic improvement in Asia continues and demand for transponders is picking up very slowly," Mi Zeng Xin, AisaSat’s chairman, said in a statement. "However, new satellite supply has been added to an already over-supplied market, and this is keeping rates under pressure at the bottom end and holding back growth in the premium sector, which is disappointing. Nevertheless, it is encouraging that AisaSat’s blue chip customers are committed to our premium services."

In February, GE Equity — an indirect but wholly owned subsidiary of General Electric Capital Corp. — and BVI — a company jointly owned by Able Star, an indirect wholly owned subsidiary of Citic Group — unveiled a plan to take AsiaSat private.