Orbit soars on $150m satellite communications contract

The company will supply Ka-Band satellite communications systems to one of the world's largest satellite ventures.

Orbit Technologies Ltd. (TASE:ORBI) today announced a large contract for hundreds of its Ka-Band communications systems with one of the world's largest satellite ventures, a consortium of carriers which provide satellite high-speed broadband communications to billions of peoples. Orbit says that the customer estimates the potential market for Orbit's systems at $150 million over five years. The first NIS 4 million order will be delivered during the first half of 2013.

Orbit's share price rose 38.3% by early afternoon to NIS 0.38, giving a market cap of NIS 75 million.

Orbit will supply Ka-Band communications systems, including 2,500 antennas, for Ka-Band communications, a key growth engine for the satellite communications industry. The company will also provide services to the customer. Orbit added that it has begun planning and design of the specifications of the systems with the customer.

Orbit has been struggling over the past year. Its share price has lost half its value since January, disputes between the controlling shareholder and management led to the departure of the CEO and other executives. The company is now led by CEO Ofer Greenberger and CFO Shmuel Koren.

Published by Globes [online], Israel business news - www.globes-online.com - on November 11, 2012

© Copyright of Globes Publisher Itonut (1983) Ltd. 2012

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