NewSat CEO Adrian Ballintine announced this was the last round of capital funds offered on equivalent terms of last year's entitlement offer. NewSat, which is based in Victoria, Australia , is the country's only independently owned satellite communications carrier. The $7.5 million capital fund will be used to settle the cost of the Jabiru 1 satellite. It is currently being manufactured by Lockheed Martin and is now on its fourth month. By paying $1 for $5 in the early stages of the satellite fleet project, Newsat is able to hasten the construction timeline.
Mr. Ballintine shared the recent updates on the Jabiru satellite communications program in his most recent interview. NewSat continues to make milestone achievements in financing and international branding. The local teleport operator was well received at ASX business roadshows in New York and London where it got an opportunity to discuss its future satellite capacity.
The events were mostly attended by gas, oil and mining companies seeking investors, partners and customers. Participating Australian companies had market capitalization between A$150 million to A$2 billion.
Ballintine said NewSat closed the capital shortfall owing to the investors in the London and New York ASX conferences. Although NewSat was the smallest participant, the responses it got from the audience and foreign funds were impressive.
Approximately seventy-five percent of the cost of Jabiru satellite communications program will be covered by loans, and the rest of the funds will come from stockholders in the form of capital. The company is in the process of securing credit lines from French government-backed COFACE and the Export-Import Bank of America.
Ballintine said they are determined to finish the contract with Lockheed Martin which generously manufactures the satellite prior to NewSat getting the imprimatur from the Ex-Im bank. The completion of capital requirements is expected to help Lockheed Martin and NewSat finish the satellite before the scheduled completion date.
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