Vocus to build Australia’s first Telesat Lightspeed LEO landing station

MELBOURNE/OTTAWA - Vocus will construct Australia’s first Telesat Lightspeed Low Earth Orbit (LEO) landing station in New South Wales, according to a press release statement issued Tuesday. Telesat (NASDAQ:TSAT), currently valued at $855 million, has seen its stock surge 87% over the past year despite facing significant operational challenges.

The specialist digital infrastructure provider will build and operate the facility, providing fiber connectivity to Telesat’s point of presence and connecting the satellite constellation to terrestrial networks across the region.

Telesat (NASDAQ:TSAT) plans to begin launching its LEO satellites in late 2026, with the new landing station supporting satellite testing and customer field trials before global service delivery.

"Vocus is an ideal partner to deliver the resilient, scalable terrestrial infrastructure," said Asit Tandon, Telesat’s Chief Network and Information Officer. With a beta of 1.82, Telesat’s stock shows higher volatility than the broader market. For detailed insights and additional analysis, investors can access the comprehensive Pro Research Report available on InvestingPro.

The agreement includes Vocus committing to use Telesat Lightspeed services once the network becomes operational. These services will provide connectivity for Vocus’ enterprise and government customers with committed information rates and service level agreements.

A key feature of the Telesat Lightspeed service will be terminal-to-terminal direct connectivity, allowing communication between points without using terrestrial links or the public internet.

Vocus currently operates or has contracted 30 ground stations and manages a 27,000-km fiber network across Australia with subsea connections to New Zealand, Asia, and the United States.

Telesat Lightspeed is designed to provide satellite connectivity with fiber-like speeds for telecom, government, maritime and aeronautical customers.

In other recent news, Telesat has experienced significant developments impacting its financial and operational landscape. The company reported a 23% decline in revenue for the first quarter of 2025 compared to the same period in 2024, primarily due to lower renewal rates and decreased demand from key customers. This ongoing revenue erosion has prompted S&P Global Ratings to downgrade Telesat Canada’s credit rating from ’CCC+’ to ’CCC-’, citing refinancing risks and a negative outlook. Similarly, Moody’s Ratings downgraded Telesat Corporation’s corporate family rating to Caa2 from Caa1, reflecting concerns over the company’s debt maturities due in 2026. Despite these financial challenges, Telesat continues to advance its Low Earth Orbit (LEO) satellite program, having secured a major connectivity deal with Arabsat to integrate its Lightspeed services into Arabsat’s satellite ecosystem. Additionally, Telesat has filed proxy materials with the U.S. Securities and Exchange Commission for its upcoming Annual General Meeting, inviting shareholders to participate in corporate governance decisions. These recent developments highlight the company’s ongoing efforts to navigate financial uncertainties while pursuing strategic partnerships and technological advancements.

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