Germantown, Md. – EchoStar (NASD: SATS), the Colorado-based founder of
satellite TV service DISH Network, said on Monday it will acquire satellite
communications firm Hughes Communications in a deal valued at $2 billion.
the deal, expected to close later this year, Hughes stockholders will receive
$60.70 a share in cash, with EchoStar also refinancing Hughes’ outstanding
EchoStar said the acquisition will enhance its capabilities for broadband
transport of video and data.
"There is a unique and compelling fit between
Hughes and EchoStar," said Michael Dugan, the president and CEO of
"The combination… will create a powerful leader in video and
EchoStar formed DISH in 1996, and split it into a
separate public company in 2007. The company also operates Sling Media, maker
of the Slingbox video place-shifting device.