08:33 AM EDT, 09/08/2025 (MT Newswires) -- MDA Space ( MDALF ) said Monday its US$1.3 billion contract with EchoStar was terminated after a sudden change in EchoStar's business strategy. The constellation contract was first announced Aug. 1.

MDA said the termination is unrelated to its performance and that it will be compensated for all related costs and fees. The contract would have made MDA the prime contractor for EchoStar's planned low Earth orbit satellite constellation.

Reports said EchoStar sold its AWS-4 and H-block spectrum licenses to SpaceX for US$17 billion in cash and shares.

Separately, MDA said it appointed Andrew Stanniland as managing director of MDA Space UK, effective Sept. 10. He will oversee the company's UK operations, succeeding Anita Bernie, who has decided to pursue a new career opportunity.

Shares of MDA last closed down $0.20 at $44.01 on the Toronto Stock Exchange.