Calian continues to expand in this big market

Article Excerpt

Calian has had great success in Canada—and the company’s focus on secure Canadian government contracts continues to pay off. Meanwhile, Calian is now expanding further into the big U.S. market. CALIAN GROUP, $52.22, is a buy. The company (Toronto symbol CGY; TSINetwork Rating: Extra Risk) (calian.com; Shares outstanding: 11.8 million; Market cap: $631.0 million; Dividend yield: 2.1%) has now completed its purchase of the assets of U.S.-based Hawaii Pacific Teleport. Calian paid up to $62 million. Hawaii Pacific has operated for over 20 years as an independent teleport and continues to be a leader in Asia Pacific satellite communications. A satellite teleport is an earth station that functions as a telecommunications hub for connecting a satellite network with a terrestrial network. From its service locations across the Hawaiian Islands and Guam, Hawaii Pacific aims to provide secure and comprehensive connectivity throughout the Asia Pacific region from its strategically located U.S.-based locations. Hawaii Pacific makes recurring revenue (currently $18 million a year) from its blue-chip customer base of…