[SatNews] At noon on Friday, the highest traded stock — by volume — on the Australian stock exchange was NewSat.

The stock increased in value after the Company completed a deal to acquire seven orbital slots to accommodate satellites. The orbital slots are currently licensed to AP Kypros Satellites, but the frequencies of several of them will be sublicensed exclusively to NewSat, the company said in a statement shortly after the market opened today. Nearly 153.8 million shares worth more than $1.3 million changed hands, with NewSat shares closing up 0.1 of a cent, or 14.3 per cent, at 0.8 cent.

NewSat chief executive Adrian Ballintine said the deal was a "milestone" for the company. "Orbital slots are the lifeblood of satellite operators, and to have multiple slots is the goal of long-term entrants," Mr. Ballintine said in the statement. "The slots are extremely valuable assets with senior filing status, outstanding geographic footprint and certainly enough capacity to see NewSat's long-term future assured. We are now in a position to launch multiple satellites, each of which could generate in excess of $100 million of (earnings) per year."

The seven orbital slots cover every continent and would accommodate a fleet of NewSat's Jabiru satellites, the Company said. The deal will give NewSat the right to use one slot exclusively, 50 percent of the frequencies of another two slots, and options over a further four slots. Financial terms will be released later. However, NewSat said the slots would be paid for in five cash instalments — the sixth and last instalment would be paid in ordinary shares on December 1, 2011. NewSat stated that the cash consideration payable is easily achievable and can be satisfied through available cash and reserves. (Source: BrisbaneTimes.com.au, Business Day)