KVH and SJC said that they intend to collaborate on value-added services in the area of shipping digitalisation and improved broadband access at sea. SJC, Asia’s largest satellite operator, provides maritime broadband service in Japan under the name -OceanBB plus.
“For years, the collaboration of KVH and SJC has developed the Asian shipping market with excellent satellite communications services, and we look forward to continuing our relationship,” said Shinji Takada, SJC’s representative director, president, and CEO. “Our investment is based on our conviction that KVH’s superior technology, equipment, and services are crucial at this time of digitalisation in the maritime industry.”
SJC has agreed to purchase $4.5 mill of KVH common stock in a private placement at a price of $11.95 per share, which represents a 10% premium over the average closing price of the KVH common stock over the 30 trading days before pricing.
The transaction is subject to customary closing conditions and is expected to close later this week.
“We are thrilled to be continuing our relationship with SJC, which has been extremely significant as we have grown our mini-VSAT Broadband network into the No 1 market-share leader in maritime VSAT,” said Martin Kits van Heyningen, KVH’s CEO. “Working together, we can leverage our technologies and strengths in order to provide the faster, reliable global connectivity and the value-added services that the maritime industry needs.”