Advanced Television

Lynk to merge with Slam

February 9, 2024

By Chris Forrester

Lynk Global and special purchase acquisition company Slam Corp are to merge. The pair announced that they have entered into a definitive business combination agreement under which Slam will combine with Lynk. Upon completion, the combined company will operate as Lynk Global Holdings, and its shares expected to be publicly listed on Nasdaq under the ticker symbol ‘LYNK’.

Lynk Global, founded in 2017, is seeking to provide a satellite-to-cellphone service which it describes as “cell towers in space”. It has three Link Tower satellites in orbit and initial plans for 10.

Charles Miller, CEO of Lynk, said: “With technology proven on all seven continents, and 36 full commercial contracts with partners that currently provide coverage to hundreds of millions of subscribers in approximately 50 countries, Lynk has the potential to provide continuous wireless connectivity to billions of people around the world, using the unmodified phones they use today.”

Alex Rodriguez, CEO of Slam, added: “Lynk seeks to connect the world by extending cell coverage everywhere. We are thrilled to announce this business combination agreement, which positions the combined company to capitalise on the massive, $1 trillion mobile wireless market as Lynk solves a core problem for the more than five billion cell phone users around the globe today. The combined company is set to deliver Lynk’s innovative, patented technology to areas that need it most and connect the more than two billion unconnected people worldwide.”

Lynk has engaged investment bank BTIG to raise additional capital ahead of the closing of the business combination with Slam. Proceeds from the anticipated financing will be used to produce more satellites, secure launches, and support satellite design and operations. This is expected to include the continued development, manufacturing and launch of a constellation of Low-Earth Orbit satellites. The constellation will complement the three commercially-licensed Lynk satellites that are currently in orbit and is intended to enable global communications using radio frequency spectrum licensed to mobile network operators without hardware or software modification to existing standard cellphone technologies.

Lynk’s patented and commercially-licensed sat2phone technology is compatible with any unmodified cellular device from 2G to 5G, and is positioned to be compatible with future generations of mobile devices. The company’s technology has been tested and proven in over 25 countries, on all seven continents, and Lynk has signed 36 full commercial contracts with partners to provide coverage in approximately 50 countries.

Under the terms of the business combination agreement, the transaction values Lynk at a pre-money enterprise value of $800 million. Upon completion of the transactions contemplated by the Business Combination Agreement, the expected proceeds will be used to secure launch timing and support satellite design, manufacturing and operations.

Categories: Business, M&A, MNO, Mobile, Satellite

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