MDA Space Expands U.S. Defense and Satellite Capabilities with the Acquisition of Blue Canyon Technologies

Canadian Space Leader Strengthens U.S. Market Position, Adds $3.5 Billion Pipeline and Advanced Spacecraft Manufacturing Capabilities

MDA Space is making a major move to strengthen its position in the rapidly growing global space economy and expand its reach into the U.S. defense market.

The company announced that it has signed a definitive agreement to acquire Colorado-based Blue Canyon Technologies (BCT) in an all-cash transaction valued at US$620 million (approximately C$874 million). The acquisition marks a significant strategic expansion for MDA Space, adding a proven spacecraft and satellite component manufacturer with an established presence in government, defense, and commercial space programs.

Currently part of RTX’s Raytheon business, Blue Canyon Technologies has built a strong reputation over nearly two decades as a trusted provider of small spacecraft, satellite components, and mission services. Since its founding in 2008, the company has successfully supported more than 85 spacecraft launches and delivered over 3,500 products currently operating in orbit.

For MDA Space, the acquisition represents far more than a portfolio expansion. It provides a strategic U.S.-based manufacturing footprint, a highly skilled workforce, and direct access to growing demand for national security and defense-related space missions.

Expanding Access to the U.S. Defense Space Market

The transaction significantly broadens MDA Space’s total addressable market and strengthens its ability to pursue opportunities within the United States government and defense sectors.

Blue Canyon Technologies brings more than 400 employees and two manufacturing facilities located in Denver, Colorado, one of North America’s leading aerospace and space technology hubs. The company’s diverse spacecraft and satellite product portfolio supports a wide range of missions across Earth observation, communications, science, exploration, and national security applications.

By combining BCT’s spacecraft platforms and satellite component expertise with MDA Space’s established strengths in satellite systems, robotics, geointelligence, and mission-critical space technologies, the acquisition creates a highly complementary technology and customer ecosystem.

“The acquisition of Blue Canyon Technologies is expected to accelerate our growth strategy by increasing our U.S. market opportunities with highly complementary capabilities, local manufacturing footprint and a skilled and specialized talent base,” said Mike Greenley, Chief Executive Officer of MDA Space.

Greenley added that acquiring a profitable and cash-generating business while simultaneously expanding the company’s strategic position makes the transaction an attractive opportunity for long-term shareholder value creation.

Adding a Profitable Business with Significant Growth Potential

Beyond its strategic benefits, Blue Canyon Technologies brings strong financial and operational value to the transaction.

The company has operated successfully for 18 years and is expected to contribute positively to MDA Space’s earnings profile. Management expects the acquisition to be accretive to both Adjusted EBITDA and Adjusted Earnings Per Share beginning in 2027.

The transaction also substantially increases MDA Space’s future opportunity pipeline, adding approximately US$3.5 billion (C$4.9 billion) in potential business opportunities.

As governments around the world continue increasing investments in defense space architectures, resilient satellite networks, and next-generation orbital capabilities, the acquisition positions MDA Space to capture a larger share of these expanding markets.

Strengthening MDA Space’s Long-Term Growth Strategy

The acquisition aligns closely with MDA Space’s broader strategy of scaling its capabilities across the global space sector while increasing its exposure to high-growth defense and government programs.

The deal is expected to close by the end of 2026, subject to customary regulatory approvals and closing conditions. Financing has been fully committed through senior secured debt facilities.

Following completion, MDA Space expects its pro forma leverage ratio to remain within its stated target range of 1.5x to 2.5x net debt to adjusted EBITDA, while maintaining flexibility to optimize its capital structure over time.

As global demand for advanced spacecraft, satellite constellations, and defense-focused space infrastructure continues to accelerate, the acquisition of Blue Canyon Technologies positions MDA Space to strengthen its competitive standing and expand its influence across one of the world’s most strategically important space markets.