Gilat Satellite Networks (GILT) investor relations material

Deal rationale and strategic fit

• Acquisition accelerates transformation into a global leader in mission-critical defense, space, and satellite communications, more than doubling defense revenues and expanding access to U.S. and allied military programs.

• Combines complementary technologies, customer relationships, and capabilities in satellite networks, amplifiers, modems, antennas, troposcatter, and space electronics.

• Expands U.S. presence, engineering, and manufacturing footprint, supporting U.S. and allied defense customers.

• Broadens addressable market and technology portfolio, enabling entry into adjacent growth markets like troposcatter BLOS communications and space electronics.

• Enables diversification into new customer segments, including NASA and global defense agencies.

Financial terms and conditions

• Acquisition price is $157.5 million in cash, on a cash-free, debt-free basis, subject to working capital adjustments, fully funded from existing resources with net cash of approximately $170 million as of Q1 2026.

• Combined company projected to have over $700 million in annual revenues and $80 million in adjusted EBITDA.

• Acquired business generated adjusted revenue of $187.8 million and adjusted EBITDA of $14.9 million in FY2025.

• Comtech's segment generated $195.2 million in revenues and $16.8 million in adjusted EBITDA for the trailing 12 months ended January 2026.

• Transaction expected to be accretive to adjusted EBITDA upon closing.

Synergies and expected cost savings

• Significant revenue and cost synergies expected from cross-selling, operational efficiencies, and scale benefits.

• Cross-selling opportunities identified between U.S. and global markets, leveraging complementary product lines.

• Integration of R&D and manufacturing capabilities to pursue larger opportunities.