PARIS, FRANCE: AERKOMM Inc., a trailblazer in satellite technology, has teamed up with IX Acquisition Corp to create a new entity, AKOM Inc. This strategic merger is underpinned by a definitive Business Combination Agreement and bolstered by a US $35 million private placement.

The fusion of these two entities is set to revolutionize the satellite broadband connectivity landscape. The newly formed AKOM Inc. will see AERKOMM transition its primary listing from Euronext to Nasdaq, operating under the ticker “AKOM” post-merger.

AERKOMM’s adjusted enterprise value stands at a robust US $200 million, with the potential addition of up to US $200 million in earnout shares, contingent on achieving specific milestones. The transaction is supported by a US $35 million common equity PIPE, attracting both new and existing AERKOMM shareholders.

Current AERKOMM shareholders are set to roll over their entire equity stake, potentially owning about two-thirds of the new combined AKOM, depending on the final PIPE capital and cash retained in the IXAQ trust.

AKOM’s Nasdaq listing paves the way for the execution of its strategy to provide carrier-neutral and software-defined infrastructure, crucial for delivering multi-orbit satellite broadband connectivity that is mission-critical.

The transaction’s completion is anticipated in Q3 2024, subject to SEC review, shareholder approvals, and other customary closing conditions. AERKOMM’s market position is strong, with its target markets in Aerospace & Defense and Civilian Telecommunications expected to surge from approximately $20 billion to $60 billion by 2030.

AERKOMM’s innovative semiconductor glass antenna sets a new industry standard, offering 50% more throughput per square inch than previous technologies. This leap in performance exemplifies AERKOMM’s commitment to flexibility, scalability, and efficiency, catering to the ever-evolving demands of satellite communications.

Louis Giordimaina, AERKOMM Chief Executive commented: “We are delighted to be collaborating with the IXAQ team, who bring considerable sector and financial experience and expertise. We will benefit from the resources of the IXAQ team, who also have a proven track record in the international technology, media and telecoms sectors.

“We are well positioned to address extremely fast-growing markets – Aerospace & Defense and Civilian Telecommunications. We are developing a range of pioneering multi-orbit satellite technologies with the capability to provide end-to-end broadband connectivity in collaboration with our satellite partners.

“In the defense sector, we have been leveraging our team’s long-time focus on commercial aviation to demonstrate applications for satellite communications for unmanned aerial vehicles (UAVs). Our technology is achieving positive results in real-world settings and we anticipate commencing our first major contract in 2024. We will also continue to invest in our talent and partnerships as we position our technology to scale-up.”

Karen Bach, IXAQ Chief Executive commented: “We launched IXAQ with a team of executives from the digital infrastructure and telecommunications sectors in order to add value to the management teams of our target company – in AERKOMM we have found the right opportunity.

“Switching AERKOMM’s listing to Nasdaq and combining with our team of experienced operators will support the business to rapidly evolve into an institutional-grade company that is well-positioned to capitalize on the numerous opportunities in its expanding markets.”