News: SDA Speedcast International says to acquire Harris CapRock

Nov 1 (Reuters) - Speedcast International Ltd (SDA) :

• SDA to acquire Harris Caprock and complete equity raising
• Speedcast International Ltd announces Harris CapRock acquisition and equity raising
• Agreement to acquire 100% of Harris CapRock for total upfront consideration of US$425 mln
• Acquisition is expected to be double digit EPS accretive in 2017 before synergies
• Acquisition will be funded via a fully underwritten about A$295 mln accelerated entitlement offer
• Anticipated cost synergies estimated at US$24 mln delivered over 24 month period post acquisition
• Speedcast expects that it will incur one-time costs associated with achieving these synergies of about US$4.3 million
• Has refinanced group's debt facilities through fully underwritten syndicated facilities totaling $385 million
• Offer at A$3.10 per share
• All fy16 key financial metrics expected to grow strongly compared to 2015
• Fy16 ebitda expected at US$40 mln