Globalstar’s $90‑per‑share Amazon Deal Follows 17% Q1 Revenue Rise

Context Globalstar (Nasdaq: GSAT) reported stronger wholesale capacity sales driving the Q1 gain. Amazon (Nasdaq: AMZN) seeks to add direct‑to‑device links to its low‑Earth‑orbit constellation using Globalstar’s satellites and spectrum. The FCC’s Space Bureau reaffirmed Globalstar’s exclusive rights to the Big LEO band, blocking rivals from sharing the license.

Key Facts - Q1 2026 revenue: $70.1 million, +17% YoY. - Merger consideration: $90 cash or 0.3210 AMZN shares per GSAT share; the share alternative is capped at $90 value. - Cash elections limited to 40% of outstanding shares; a downside adjustment of up to $110 million applies if operational milestones are missed. - Globalstar market cap ≈ $2.3 billion; Amazon market cap ≈ $1.9 trillion. - FCC confirmation secures exclusive MSS operation in Big LEO spectrum.

What It Means Shareholders can elect cash or stock, but the proration mechanism may reduce cash payouts if demand exceeds the 40% cap. Amazon gains immediate access to proven satellite hardware and exclusive spectrum, accelerating its LEO broadband plans. The regulatory shield reduces competitive risk for the combined entity’s spectrum‑dependent services. Investors should watch for FCC and antitrust clearance, the shareholder vote scheduled for mid‑2026, and whether Globalstar hits the milestones that could trigger the $110 million adjustment.

What to watch next Regulatory approvals, the milestone‑based payment trigger, and market reaction to the final exchange ratio as the deal targets a 2027 close.