SatixFy Communications (SATX) shares were sharply higher pre-market Tuesday after the company agreed to be acquired by MDA Space in a $193 million all-cash deal, according to a joint statement from the companies.

The companies said MDA Space would pay $2.10 per SatixFy share, a 75% premium relative to the stock's last close.

As part of the agreement, the companies said MDA Space will retire SatixFy's existing debt of about $76 million upon closing, bringing the total cash consideration to about $269 million.

The deal is expected to be accretive to MDA Space's adjusted earnings in 2027 and generate cost savings within 12 months of closing, primarily due to the vertical integration of space chips and the elimination of public company costs, the companies said, adding the transaction is expected to close in Q3.