(By Balachander) DigitalGlobe Inc.'s (NYSE: DGI) pending combination with GeoEye Inc. (NASDAQ: GEOY) has received antitrust clearance from the U.S. Department of Justice.
GeoEye, a provider of geospatial information, in July 2012 agreed a merger with DigitalGlobe to create a global leader in earth imagery and geospatial analysis.
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Closing of the deal is subject to obtaining regulatory approval from the Federal Communications Commission (FCC) and the National Oceanic and Atmospheric Administration (NOAA).
The deal worth $453 million is expected to be completed by January 31, 2013, during which period the company expects to complete a $1.2 billion refinancing.
The refinancing is expected to include a combination of senior notes and senior secured credit facilities.
DigitalGlobe provides commercial high-resolution earth imagery products and services and Herndon, Virginia-based GeoEye's stereo imagery provides three-dimensional viewing and feature recognition for a number of engineering applications.
On Tuesday, GeoEye announced first sale of its stereo imagery products to the Government of India. GeoEye said it received an order from the Government of India for the stereo imagery from the high resolution GeoEye-1 satellite.
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On Wednesday, DigitalGlobe shares rose 4.15 percent to trade at $28.33 and GeoEye shares jumped 6.80 percent to trade at $36.30.