April 22, 2026 | Technology | North America | Active
On 14-Apr-26, Amazon agreed to acquire satellite communications provider Globalstar in a move aimed at bolstering its satellite business and to narrow the gap with Elon Musk’s Starlink (private). Under the agreed terms, Globalstar shareholders can elect to receive either $90.00 in cash or 0.3210 Amazon shares for each Globalstar share, subject to proration that caps cash elections at 40% of the total Globalstar shares outstanding. The default election is stock consideration if no election is made and target shareholders will have at least 20 business days to make their election, with the deadline falling within three business days from deal closing. The cash offer represents a 31.3% premium to Globalstar’s undisturbed share price on 1-Apr-26, before reports of takeover discussions emerged, and a 23.5% one-day premium. Globalstar’s board has unanimously approved the transaction. There is no financing condition. Closing conditions include Globalstar shareholder approval, although that condition is effectively already satisfied since infrastructure investment firm Thermo Funding II, which acquired Globalstar out of bankruptcy in 2004 and currently holds 57.6% of the voting power, has already approved the transaction by written consent. No further target shareholder approval is needed, and Amazon shareholder approval is not required. The transaction is also subject to HSR, foreign antitrust, foreign investment, and approvals from various satellite and telecom industry regulators, including the FCC, ANFR, the French Ministry of Telecoms, the French Ministry of Space, and ARCEP. Additionally, the takeover is conditional on the achievement of certain HIBLEO-4 replacement satellite milestones, with HIBLEO-4 referring to Globalstar’s current FCC-licensed US low-Earth-orbit (LEO) satellite system that is being replenished by the new satellites. In February 2022, Globalstar signed a ...
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