Mississauga, Sept. 22, 2020 /CNW/ – Crown Capital Partners Inc. (“Crown” or the “Corporation”) (TSX: CRWN), a capital partner to entrepreneurs and growth businesses, today announced it has acquired privately-held Galaxy Broadband Communications Inc. (“Galaxy”), an Ontario-based satellite service company that provides telecommunications services to enterprise customers across Canada.
For almost three decades, Galaxy has provided reliable and innovative communications to enterprises with remote locations where limited or no connectivity exists. The company utilizes third-party satellite spectrum, combined with its proprietary networks and infrastructure, to deliver remote data communications, VoIP, and internet access to customers across a range of industries, including resource-based projects, government entities, emergency responders, and infrastructure projects. In addition, Galaxy offers a range of value-added services and solutions such as 24/7 managed service of IT networks, including security, monitoring, and reporting, as well as network design and consulting, commercial installation and maintenance. Rick Hodgkinson, Founder, President & CEO of Galaxy, is one of Canada’s satellite pioneers and was one of the very first to introduce satellite communications technologies for voice, data, and entertainment to the resource industry beginning in Northern Alberta in 1981.
“We’re excited to add the Galaxy team to Crown’s Network Services platform, which we believe has significant long-term opportunity driven by the need to better connect private enterprise customers, government entities and communities in underserved areas,” said Chris Johnson, President & CEO of Crown. “Under Rick’s leadership, Galaxy has established an excellent reputation in the marketplace, as well as a solid base of recurring revenue primarily from large enterprise customers. When combined with our existing WireIE operations, we move forward with additional scale and deeper technology and go-to-market capabilities. COVID-19 has heightened the need for better connectivity in remote communities – for everything from medical services to education – and we have an even stronger platform with which to address this market opportunity.”
“This is a great milestone for our team, customers, and partners in Galaxy’s 28-year journey,” added Rick Hodgkinson, Founder, President & CEO of Galaxy. “By partnering with Crown, we will benefit from improved access to capital to accelerate growth and capitalize on new opportunities, while continuing to provide our customers with the most reliable, innovative and cost-effective solutions to connect them wherever they go.”
The acquisition of Galaxy represents Crown’s second transaction in the Network Services industry following the 2019 acquisition of WireIE, which operates as a wholly-owned subsidiary of Crown. This industry offers both high-quality, recurring revenue and strong growth prospects. As Crown’s investments in Network Services grow, the Corporation plans to raise commitments from third-party investors to fund future asset growth and capitalize on the market opportunity.
About Crown Capital Partners (TSX:CRWN)
Founded in 2000, Crown is a leading specialty finance company that provides growth capital to a diversified group of successful mid-market companies that are seeking alternatives to banks and private equity funds. Crown provides customized solutions in the form of loans, royalties, and other structures with minimal or no ownership dilution. In addition to deploying capital as a principal investor, Crown develops, manages and co- invests in alternative investment funds, including Crown Partners Fund and Crown Capital Power Fund.
About Galaxy Broadband Communications Inc.
For over 28 years Galaxy Broadband has been a leading North American provider of Enterprise satellite networks and services focused on delivering high quality commercial grade services to oil and gas, mining, construction, and Government markets in Canada. Galaxy provides solutions ranging from fully managed voice and data networks to sophisticated network managed services that control hundreds of users in camps, and remote offices. For more information, please visit www.galaxybroadband.ca