07:53 AM EST, 12/04/2024 (MT Newswires) -- Gogo ( GOGO ) said Wednesday that it has completed its acquisition of Satcom Direct for $375 million in cash and five million shares of Gogo ( GOGO ) stock.

The deal, which is funded by $250 million in debt and $150 million in cash from Gogo's ( GOGO ) balance sheet, may include an additional $225 million based on performance milestones over the next four years.

The transaction is immediately accretive and expected to result in annual recurring cost savings of $18 million, with total run-rate cost synergies ranging from $25 million to $30 million over two years.

Additionally, Gogo ( GOGO ) said Chris Moore, previously president of Satcom Direct, has been appointed as Gogo's ( GOGO ) new chief executive officer, succeeding Oakleigh Thorne who is transitioning to executive chair of the company's board.

Gogo ( GOGO ) said it has also appointed Zachary Cotner, former chief financial officer of Satcom Direct, to the same role to succeed Jessi Betjemann. Mike Begler, Gogo's ( GOGO ) senior vice president of production operations, has been promoted to chief operating officer.

Gogo ( GOGO ) said it continues to expect full year revenue of $400 million to $410 million.