CAMBRIDGE, ON, Aug. 4, 2020 /CNW/ - exactEarth Ltd. (TSX: XCT) ("exactEarth" or the "Company"), a leading provider of Satellite-AIS data services, announces that it has completed its previously announced transaction to divest four satellites from its first-generation constellation and its ground station assets to Myriota Canada Inc. ("Myriota Canada"), a wholly-owned subsidiary of Myriota PTY Ltd. ("Myriota"). The Company has received the necessary Canadian regulatory approvals and met all closing conditions to consummate the transaction. The agreement was initially announced via press release on March 31, 2020. All financial figures are in Canadian dollars unless otherwise stated.
"This transaction will further strengthen our financial position by generating approximately $1.0 million per year in net cash savings while preserving our access to the Satellite AIS data originated by the four satellites for the duration of their lifespan," said Peter Mabson, President & CEO of exactEarth. "It also extends our relationship with Myriota, which is an exciting and up-and-coming company that exactEarth has invested in and one that we have built a strong business relationship with over the past several years."
"This transaction marks a pivotal moment for Myriota in the acceleration of our North American expansion plans, including the establishment of our new Ontario, Canada office," said Alex Grant, CEO of Myriota. "The addition of new satellites, industry-experts, and a global network of ground stations will only fast-track our timeline to bring low-cost, low-power IoT connectivity to North American agriculture, defense, mining, and transport and logistics industries."
About exactEarth Ltd.
exactEarth is a leading provider of global maritime vessel data for ship tracking and maritime situational awareness solutions. Since its formation in 2009, exactEarth has pioneered a powerful new method of maritime surveillance called Satellite AIS and has delivered to its clients a view of maritime behaviours across all regions of the world's oceans unrestricted by terrestrial limitations. exactEarth's second-generation constellation, exactViewTM RT, securely relays satellite-detected AIS vessel signals from any location on the earth's surface to the ground in seconds – thus enabling global real-time vessel tracking. This unique capability consists of 58 advanced satellite payloads designed and built by L3Harris Technologies, Inc. under agreement with exactEarth and that are hosted onboard the Iridium NEXT constellation of satellites. www.exactearth.com
This news release contains statements that, to the extent they are not recitations of historical fact, may constitute "forward-looking statements" within the meaning of applicable Canadian securities laws. Forward-looking statements may include financial and other projections, as well as statements regarding exactEarth's future plans, objectives or economic performance, or the assumptions underlying any of the foregoing, including statements regarding, among other things, expectations of our exactView RT offering relative to competitors, the anticipated benefits and financial impact of the Myriota transaction, expectations of the exactView RT capabilities driving growth, and growth opportunities for the Company in the maritime information services market exactEarth uses words such as "may", "would", "could", "will", "likely", "expect", "anticipate", "believe", "intend", "plan", "forecast", "project", "estimate" and similar expressions to identify forward-looking statements. Any such forward-looking statements are based on assumptions and analyses made by exactEarth in light of its experience and its perception of historical trends, current conditions and expected future developments, as well as other factors exactEarth believes are appropriate under the relevant circumstances. However, whether actual results and developments will conform to exactEarth's expectations and predictions is subject to any number of risks, assumptions and uncertainties. Many factors could cause exactEarth's actual results, historical financial statements, or future events to differ materially from those expressed or implied by the forward-looking statements contained in this news release. These factors include, without limitation: uncertainty in the global economic environment; fluctuations in currency exchange rates; delays in the purchasing decisions of exactEarth's customers; the competition exactEarth faces in its industry and/or marketplace; the further delayed launch of satellites; the financial impact of the Myriota transaction; the impact of the COVID-19 pandemic on customers and the market generally, the reduced scope of significant existing contracts; and the possibility of technical, logistical or planning issues in connection with the deployment of exactEarth's products or services.
SOURCE exactEarth Ltd.