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MMaarrttiinn AAllnneess 
AAuurroorree CCaassssiinn 
DDaarriiaa CChheebbaattaarriioovvaa 
IInnddrraa PPrraattaammaa 
QQiioonngg QQii
E-mails 
from 
NGA 
Because of 
EnhencedView 
cuts, we need you 
for 3 more 
months 
We ‘ll renew your 
contract for a 
whole year
Overdependence risk 
They had to merge because of EV’s downsizing 
and spreading budgetary constraints. 
The new entity may decide to considerably 
increase its revenues from commercial end-users.
 May 4, 2012 - GEOY proposes acquisition of DGI 
 May 6, 2012 - DGI rejects unsolicited acquisition 
proposal by GEOY 
 July 23, 2012 - DGI and GEOY approves definitive 
merger agreement 
 December 3, 2012 – GEOY & DGI special shareholders 
meeting
EV(mil) Ebitda/REV EBIT/REV EV/EBITDA EV/EBIT EV/REV REV/emp 
DigitalGlobal 1079,79 42,53 % - 3,17 - 3,18 480 
GeoEye 806 48,18 % 27 % 4,75 8,31 2,37 480 
Gilat 160,27 11,33 % - 4,07 - 0,46 256 
Echostar 1651 18,08 % 2,93 % 3,31 20,43 0,6 657 
LORAL 1178,83 11,77 % 8,85 % 9,04 12,03 1,06 382 
GLOBCOM 182,15 10,25 % 6,94 % 4,66 6,87 0,48 767 
Orbital 725,58 8,36 % 5,93 % 1,14 1,6 1,13 384 
Adtran 1764,3 27,97 % 26,30 % 8,79 9,32 2,46 412 
Trimble Nav 5695,59 16,08 % 9,51 % 21,98 36 3,46 310 
Bae systems 14930,21 13,03 % 8,83 % 4,16 6,13 0,54 206 
Orbcomm 60,62 12,91 % 2,13 % 10,14 61,54 1,3 340 
Iridium 845,18 45,43 % 20,04 % 4,84 10,98 2,42 1768 
Avg. 1565,4 23,26 % 13 % 6,33 15,72 1,73 496,44 
*Finacial reports
 Original merger offer with a 34% premium over last trading 
price.
Operating 
synergies 
Extension of 
market share 
Maintaining of 3 
satellites 
The benefits for 
the customers 
from an optimized 
constellation 
Expected higher 
returns for 
shareholders 
Enabling of new 
solutions due to 
extensive archive and 
collection capacity 
combined with value 
added production and 
advanced analytics 
Efficiency gain 
The source: www.digitalglobe.com
The source: www.digitalglobe.com
 Revenue enhancements (387 millions to 600 
millions in 2012) 
 Cost saving 
Decrease of capital expenditures (200 millions) 
 Increase of the free cash flow profile 
 Debt capacity 
 Same currency 
Resources: Yahoo Finance, DigitalGlobe
Diversify Customer Base 
CAPEX Efficiency 
New offering (services, products)

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GeoEye & Digitalglobe Merger Simulation

  • 1. MMaarrttiinn AAllnneess AAuurroorree CCaassssiinn DDaarriiaa CChheebbaattaarriioovvaa IInnddrraa PPrraattaammaa QQiioonngg QQii
  • 2.
  • 3. E-mails from NGA Because of EnhencedView cuts, we need you for 3 more months We ‘ll renew your contract for a whole year
  • 4. Overdependence risk They had to merge because of EV’s downsizing and spreading budgetary constraints. The new entity may decide to considerably increase its revenues from commercial end-users.
  • 5.  May 4, 2012 - GEOY proposes acquisition of DGI  May 6, 2012 - DGI rejects unsolicited acquisition proposal by GEOY  July 23, 2012 - DGI and GEOY approves definitive merger agreement  December 3, 2012 – GEOY & DGI special shareholders meeting
  • 6. EV(mil) Ebitda/REV EBIT/REV EV/EBITDA EV/EBIT EV/REV REV/emp DigitalGlobal 1079,79 42,53 % - 3,17 - 3,18 480 GeoEye 806 48,18 % 27 % 4,75 8,31 2,37 480 Gilat 160,27 11,33 % - 4,07 - 0,46 256 Echostar 1651 18,08 % 2,93 % 3,31 20,43 0,6 657 LORAL 1178,83 11,77 % 8,85 % 9,04 12,03 1,06 382 GLOBCOM 182,15 10,25 % 6,94 % 4,66 6,87 0,48 767 Orbital 725,58 8,36 % 5,93 % 1,14 1,6 1,13 384 Adtran 1764,3 27,97 % 26,30 % 8,79 9,32 2,46 412 Trimble Nav 5695,59 16,08 % 9,51 % 21,98 36 3,46 310 Bae systems 14930,21 13,03 % 8,83 % 4,16 6,13 0,54 206 Orbcomm 60,62 12,91 % 2,13 % 10,14 61,54 1,3 340 Iridium 845,18 45,43 % 20,04 % 4,84 10,98 2,42 1768 Avg. 1565,4 23,26 % 13 % 6,33 15,72 1,73 496,44 *Finacial reports
  • 7.  Original merger offer with a 34% premium over last trading price.
  • 8. Operating synergies Extension of market share Maintaining of 3 satellites The benefits for the customers from an optimized constellation Expected higher returns for shareholders Enabling of new solutions due to extensive archive and collection capacity combined with value added production and advanced analytics Efficiency gain The source: www.digitalglobe.com
  • 10.  Revenue enhancements (387 millions to 600 millions in 2012)  Cost saving Decrease of capital expenditures (200 millions)  Increase of the free cash flow profile  Debt capacity  Same currency Resources: Yahoo Finance, DigitalGlobe
  • 11.
  • 12.
  • 13. Diversify Customer Base CAPEX Efficiency New offering (services, products)