Gilat declares $35 million cash dividend to shareholders

Gilat Satellite Networks Ltd., a worldwide leader in satellite networking technology, solutions and services, announced today that its Board of Directors has declared a cash dividend to shareholders in the amount of $0.63 per share (approximately $35 million in the aggregate) following receipt of court approval for the distribution of the dividend. The dividend will be paid in US$ on January 20, 2021 to shareholders of record on January 11, 2021. Together with the $20M dividend distributed at the beginning of this month, the aggregate amount of dividends payable to shareholders adds up to approximately $55 million, or $0.99 per share. Further, Gilat’s interim CFO, Bosmat Halpern, has been named Gilat’s CFO.

“I am pleased to have obtained the Court approval for the distribution of this meaningful dividend to our shareholders,” said Adi Sfadia, Gilat’s CEO. “After this distribution the Company still has a very meaningful cash position, in addition to its real estate assets, that will allow it to execute on possible opportunities we are exploring,” added Mr. Sfadia.

“I want also to take this opportunity to congratulate Gilat’s interim CFO, Bosmat Halpern, on her appointment as Gilat’s CFO. I am confident in her ability to apply her wealth of experience to navigate Gilat wisely to a successful 2021.” concluded Mr. Sfadia.

The Company will withhold tax in accordance with Israeli tax law. The Company has requested a ruling from the Israel Tax Authority in connection with the dividend and will announce the main terms of the ruling once it is obtained.