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Gilat Satellite in talks to be acquired at a 25% premium

A “large multinational” is in advanced talks to buy Gilat Satellite (NASDAQ:GILT) at a 25% premium above the price it began trading at on Sunday in Tel Aviv, Calcalist reports citing anonymous sources.

Shares rose 14% on the news in Sunday trading.

Gilat provides satellite communication products and services based on very small aperture terminal (VSAT) technology, which enables communication service providers to enable their voice, data, and video services. Its Spacenet subsidiary provides satellite and terrestrial network access to large commercial clients for web-based applications. Its Connexstar unit focuses on connections that enable electronic transactions and other backoffice functions for utilities companies, telecom carriers, and governments. Residential Internet subscribers are served by Gilat’s StarBand service.

12-month revenue is ~$250M. Earnings are ~$18M.

Source: M A News on Seeking Alpha