EchoStar Fortifies its Position as a Global Connectivity
Leader with Unmatched Wireless, Satellite and Video Distribution
Capabilities
ENGLEWOOD, Colo., Jan. 2, 2024 /PRNewswire/ -- EchoStar Corporation
(Nasdaq: SATS) ("EchoStar") announced today the completion of its
acquisition of DISH Network Corporation ("DISH Network") on
December 31, 2023. To complete the
acquisition, a wholly owned subsidiary of EchoStar merged with and
into DISH Network, with DISH Network surviving the merger as a
wholly owned subsidiary of EchoStar. As previously announced, as a
result of the merger, each share of DISH Network Class A Common
Stock and DISH Network Class C Common Stock converted into 0.350877
shares of EchoStar Class A Common Stock, and each share of DISH
Network Class B Common Stock converted into 0.350877 shares of
EchoStar Class B Common Stock.
"This merger brings us one step closer to our goal of offering
ubiquitous connectivity to people, enterprises and things,
everywhere," said Hamid Akhavan,
President and Chief Executive Officer of EchoStar. "Together we're
better positioned to realize the connected future by leveraging
every type of transport, combined with smart, enabling technologies
and fully integrated services. Our superior portfolio of
technology, spectrum, engineering, manufacturing and network
management expertise will deliver the unparalleled connectivity
solutions that customers demand."
The transaction combines DISH Network's satellite technology,
streaming services and nationwide 5G network with EchoStar's
premier satellite communications solutions, creating a global
leader in terrestrial and non-terrestrial wireless connectivity.
Both companies have strong momentum, highlighted by DISH Network's
5G wireless network that now covers more than 70 percent of the
U.S. population and the successful launch of EchoStar's JUPITER 3
satellite with significant available capacity for converged
terrestrial and non-terrestrial services. The combined company is
uniquely positioned to deliver a broad set of communication and
content distribution capabilities, accelerating the delivery of
satellite and wireless connectivity solutions desired by
customers.
"The completion of this merger marks an important milestone for
our company and our customers, launching a new era of
connectivity," said Charles Ergen,
Executive Chairman of the Board of EchoStar. "We have brought
together two trailblazing companies with complementary portfolios
to create a global connectivity leader with premier wireless,
satellite, and video distribution capabilities. Together, EchoStar
and DISH offer an enhanced consumer connectivity business and an
unmatched enterprise managed services business. In a world that is
increasingly wireless, we are well-positioned to drive revenue and
profitable growth."
The combined company is headquartered in Englewood, Colorado. It goes to market
worldwide under a suite of proven consumer and business brands,
including Boost Mobile, Boost Infinite, Sling TV and DISH TV, as
well as EchoStar, Hughes® and JUPITER™ satellite services,
HughesON™ managed services and HughesNet® satellite internet.
"Bridging the digital divide and seamlessly connecting people,
enterprises, and things is essential in the digital-first economy,"
said John Swieringa, President,
Technology & Chief Operating Officer of EchoStar. "Our combined
brands, technology and operational and engineering resources
uniquely position EchoStar to provide a compelling global offering
that connects consumers to the internet access, mobile phone
service, television programming, and streaming content they want,
as well as delivering business and government customers the secure
terrestrial, non-terrestrial, and hybrid connectivity solutions
they need."
Advisors
Evercore served as exclusive financial advisor, and Cravath,
Swaine & Moore LLP served as legal counsel to the Special
Committee of the Board of Directors of EchoStar. White & Case
LLP served as legal counsel to EchoStar.
J.P. Morgan served as exclusive financial advisor, and Wachtell,
Lipton, Rosen & Katz served as legal counsel to the Special
Transaction Committee of the Board of Directors of DISH Network.
Sullivan & Cromwell LLP served as legal counsel to DISH
Network.
About EchoStar
EchoStar Corporation (Nasdaq: SATS) is a premier provider of
technology, networking services, television entertainment and
connectivity, offering consumer, enterprise, operator and
government solutions worldwide under its EchoStar®, Boost Mobile®,
Boost Infinite, Sling TV, DISH TV, Hughes®, HughesNet®, HughesON™,
and JUPITER™ brands. In Europe,
EchoStar operates under its EchoStar Mobile Limited subsidiary and
in Australia, the company operates
as EchoStar Global Australia. For more information, visit
www.echostar.com and follow EchoStar on X (Twitter) and
LinkedIn.
Forward-Looking Statements
This document contains "forward-looking statements" within the
meaning of the Private Securities Litigation Reform Act of 1995,
Section 27A of the Securities Act, and Section 21E of the Exchange
Act, including, in particular, statements about plans, objectives
and strategies, growth opportunities in our industries and
businesses, our expectations regarding future results, financial
condition, liquidity and capital requirements, estimates regarding
the impact of regulatory developments and legal proceedings, and
other trends and projections. Forward-looking statements are not
historical facts and may be identified by words such as "future,"
"anticipate," "intend," "plan," "goal," "seek," "believe,"
"estimate," "expect," "predict," "will," "would," "could," "can,"
"may," and similar terms. These forward-looking statements are
based on information available to us as of the date hereof
and represent management's current views and assumptions.
Forward-looking statements are not guarantees of future
performance, events or results and involve known and unknown risks,
uncertainties and other factors, which may be beyond our control.
Accordingly, actual performance, events or results could differ
materially from those expressed or implied in the forward-looking
statements due to a number of factors, including, but not limited
to, the following: (i) our ability to realize synergies from the
merger with DISH Network within expected time-frames or at all, and
the potential impact of the merger on operating costs, customer
loss and business disruption to, among other things, relationships
with our employees, customers, suppliers or vendors; (ii) risks
relating to our substantially increased leverage following the
merger; (iii) significant risks related to our ability to launch,
operate, and control our satellites, operational and environmental
risks related to our owned and leased satellites, and risks related
to our satellites under construction; (iv) our ability and the
ability of third parties with whom we engage to operate our
business as a result of changes in the global business environment,
including regulatory and competitive considerations; (v) our
ability to implement and/or realize benefits of our investments and
other strategic initiatives; (vi) risks related to our foreign
operations and other uncertainties associated with doing business
internationally; (vii) risks related to our dependency upon
third-party providers, including supply chain disruptions and
inflation; (viii) risks related to cybersecurity incidents; and
(ix) risks related to our human capital resources.
The foregoing list of factors is not exclusive. Additional
information concerning these and other risk factors is contained in
each of EchoStar's and DISH Network's most recently filed Annual
Report on Form 10-K and subsequent Quarterly Reports on Form 10-Q,
and in EchoStar's subsequent Current Reports on Form 8-K, and other
SEC filings. All cautionary statements made or referred to herein
should be read as being applicable to all forward-looking
statements wherever they appear. You should consider the risks and
uncertainties described or referred to herein and should not place
undue reliance on any forward-looking statements. The
forward-looking statements speak only as of the date made. We do
not undertake, and specifically disclaim, any obligation to
publicly release the results of any revisions that may be made to
any forward-looking statements, whether as a result of new
information, future events or otherwise, except as required by law.
Should one or more of the risks or uncertainties described herein
or in any documents we file with the SEC occur, or should
underlying assumptions prove incorrect, our actual results and
plans could differ materially from those expressed in any
forward-looking statements.
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SOURCE EchoStar Corporation