MDA Space to Buy Raytheon's Blue Canyon Technologies for $620 Million

By Adriano Marchese

MDA Space is buying Raytheon's small-satellite and spacecraft component supplier for $620 million, expanding its U.S. defense-space footprint.

The Canadian space technology company on Friday said it signed a definitive agreement to acquire 100% of the membership interests of Blue Canyon Technologies in an all-cash transaction.

The transaction is expected to provide MDA Space with a strategic business and manufacturing footprint to capitalize on growing demand in the U.S. government market for defense space missions.

MDA's move underscores the intensifying competition among space contractors to secure a foothold in the U.S. defense market, where demand for satellites and spacecraft is accelerating.

Chief Executive Mike Greenley said that the move is expected to accelerate the company's growth strategy in the U.S. where it sees complementary capabilities with an expanded local manufacturing footprint.

"Securing those strategic benefits on an accretive basis with a profitable and cash-generating business makes this an ideal fit for MDA Space expansion and continued shareholder value creation," Greenley said.

MDA said it expects the transaction to be accretive to adjusted earnings before interest, taxes, depreciation and amortization, as well as adjusted earnings per share in 2027.

The deal also gives the company an established manufacturing base on U.S. soil, access to Blue Canyon's government customer relationships, and a pipeline of roughly $3.5 billion in potential work.

The deal is expected to close by the end of this year.

Write to Adriano Marchese at adriano.marchese@wsj.com

(END) Dow Jones Newswires

June 19, 2026 07:13 ET (11:13 GMT)