MacDonald Dettwiler Back in Canadian Control

MacDonald Dettwiler Orbital Sciences Corp. (NYSE: ORB) of Dulles, Virginia has agreed to sell a majority stake in MacDonald Dettwiler(TSE: MDA) to a group of Canadian institutional and private investors for $163 million US. Investors include the Ontario Teachers' Pension Plan Board, British Columbia Investment Management Corp. and CAI Capital Partners and Co. It is anticipated that the transaction will be completed in early May 2001.

For Orbital the move is part of their plan to reduce debt and increase cash reserves to fund working capital.

"This agreement is a major step forward in Orbital's 'back-to-basics' strategy that focuses our full attention on the company's core space technology business, and in our campaign to strengthen our financial structure," stated Mr. David W. Thompson, Orbital's Chairman and Chief Executive Officer.

"This is a very positive development for our company," said MDA President and CEO Daniel Friedmann. "It significantly increases MDA's Canadian ownership, diversifies shareholdings, and will lead to increased liquidity."

MDA is a space and information systems company and a primary supplier of space robotics technology. Two years ago MDA bought Spar Aerospace and the original Canadarm. MDA helped build the Canadarm2 which will fly into space today.

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  • MacDonald Dettwiler
  • Orbital Sciences Corporation

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