Satellite Imagery Firm Maxar’s Stock Jump 14% After Signing $3.24B in Government Contracts

Shares of Maxar Technologies Inc soared nearly 14% after disclosing its 10-year EOCL contract valued at $3.24 billion, with a five-year base contract of $1.5 billion.

Source: Maxar.

MAXR up +13.64%, BKSY up +61.02%

NRO dubbed the contracts as a historic expansion of its acquisition strategy, indicating that the increasing availability of commercial companies’ imagery expands the company’s resilience.

The NRO is the U.S. agency that is responsible for managing a wide range of satellite intelligence capabilities, including operating its own classified satellites.

The NRO award comes under its Electro-Optical Commercial Layer (EOCL) program, which is the intelligence agency that supports more than half-a-million federal users in the next 10 years.

The EOCL deal has been long-awaited, with Maxar initially working as NRO’s sole provider of commercially-acquired satellite imagery.