The new business will develop a scaled solutions provider to support the US Government’s multi-orbit satellite communications needs. Credit: Business Wire.

SES and its subsidiary SES Government Solutions (SES GS) have obtained regulatory approvals and closed the transaction to purchase DRS Global Enterprise Solutions (GES). 

DRS GES was previously owned by Leonardo’s US subsidiary Leonardo DRS.

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Valued at $450m, the acquisition will see the combination of DRS GES’ business with SES GS.

The joint business is set to operate as SES Government Solutions and expected to draw annual run-rate synergies worth $25m.

SES GS president and CEO David Fields said: “The breadth of our capabilities, now spanning both connectivity and integration, allows for building, managing, and supporting the most advanced satellite networks solutions for our US Government customers.”

With a cross-functional workforce, the new organisation will be capable of integrating multi-orbit, geostationary, and medium earth orbit (MEO) services, and multi-operator network solutions.

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The new business will focus on developing a scaled solutions provider to cater to the US Government’s multi-orbit satellite communications needs and support other land, sea, or air-based missions.

SES GS will also provide flexible second-generation MEO services to its government customer base via SES’ O3b mPOWER system. 

The business will also use its expertise in cybersecurity operations, customer support, and governance to serve the various needs of its customers.

The SES GS Proxy Board has appointed David Fields from DRS GES to head the combined business.

SES GS Proxy Board chairman USAF (Retired) brigadier general Billy Bingham said: “I am extremely excited about the potential that this combination unleashes, reinforcing our commitment to provide best-in-class satellite network solutions to the US Department of Defense customers.

“We are delighted to welcome Fields, who comes to SES GS with extensive knowledge and expertise in the satellite communications industry and a demonstrated record of achievement in the US Government sector.”