10:09 AM EDT, 09/08/2025 (MT Newswires) -- (Updates with the stock move in the headline and first paragraph.)

EchoStar ( SATS ) shares were up nearly 18% in recent Monday trading after the company said it signed a definitive deal to sell its AWS-4 and H-block spectrum licenses to SpaceX for about $17 billion.

The company said the consideration comprises up to $8.5 billion in cash and up to $8.5 billion in SpaceX shares valued as of the agreement date. The deal also provides for SpaceX to fund about $2 billion of cash interest payments payable on EchoStar ( SATS ) debt through November, according to the statement.

In addition, the companies will sign a long-term commercial agreement that will allow EchoStar's ( SATS ) Boost Mobile subscribers to access SpaceX's Starlink Direct to Cell service, said EchoStar ( SATS ). The transaction is not expected to impact the current operations of DISH TV, Sling, and Hughes, the company added.

EchoStar ( SATS ) expects the deal, along with its previously announced spectrum sale, to resolve the Federal Communications Commission's inquiries and said the transaction is set to close after completing regulatory approvals and other closing conditions.

Proceeds from the SpaceX transaction will be used to retire certain debt obligations and fund continued operations and growth initiatives, EchoStar ( SATS ) said.

Price: 79.11, Change: +11.87, Percent Change: +17.65