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March 19th, 2018

Viasat Sells Their 6 to 18 Meter Multi-Band Antennas to CPI's Antenna Systems Division


The Antenna Systems Division (ASD) of Communications & Power Industries LLC (CPI) has signed an agreement to purchase the limited-motion satellite antenna family from Viasat Inc. (Nasdaq: VSAT).

CPI ASD will acquire Viasat's 6 meter to 18 meter multi-band antennas, providing a valuable extension of CPI ASD's larger-diameter antenna product line, while enabling Viasat to focus on antenna and communications technologies for the growing broadband services market. The purchase price for the antennas was not disclosed. 

Per the agreement, Viasat will transfer a range of limited-motion antennas at sizes including 6, 7.3, 9.1, 11.3, 13.5 and 16/18 meters, plus a 3.9 meter truck-mounted antenna, all designed for multi-band operation at C-, Ku-band and DBS frequency bands. These products will be integrated into the CPI ASD SATCOM product line, which currently extends from nomadic 2.5 meter antennas up to 9.4 meter multi-band Earth stations. CPI ASD will manufacture the large-diameter antenna products at the company's facilities in Whitby, Ontario, Canada.

The sale of the limited-motion GEO Satcom antennas will allow Viasat to exit a non-core business in antenna manufacturing to focus on their Ka-band services business and related technologies.  As part of the agreement, CPI will serve as a source for Viasat in the fulfillment of satellite ground system orders. The agreement is focused on the purchase of antenna technologies and is not expected to have an impact on employee headcount at either company. The transaction is subject to customary closing conditions and is expected to close within thirty days.

CPI ASD president Tony Russell said that Viasat has an outstanding reputation for innovation, and their large-diameter SATCOM antenna products and technology are a natural complement to those offered by CPI's Antenna Systems Division. Adding their proven products to CPI Antenna Systems Division's portfolio will allow CPI to expand the product line to address the broadest range of customer's needs for high-precision SATCOM antenna systems."

Kevin Harkenrider, president, Commercial Networks at Viasat, commented that their large-diameter product line has demonstrated years of consistent success in the market and will now fit squarely into CPI ASD's product roadmap and growth objectives. With the company's focus transitioning to new broadband markets, Viasat sees this deal as a win-win for both companies.