Principal shareholders of Israeli-owned satellite fleet operator Space Communications (Spacecom) have agreed to sell the company to Beijing Xinwei Technology for a value of around US$285 million in cash.

The transaction’s terms are pending the successful entry into service of Spacecom’s Amos-6 telecommunications satellite, built by Israel Aerospace Industries which was launched in September aboard a SpaceX Falcon 9 rocket.

Under the terms of the agreement, Spacecom’s satellite fleet, comprising three satellites plus the coming Amos6, will continue to be operated from Israeli territory.

Spacecom’s owners, led by the privately held Israeli telecommunications group Eurocom, have been trying to sell the company for several years. One recent attempted transaction with Spanish satellite fleet operator Hispasat came undone because of Israeli regulatory issues.

According to a press statement, Beijing Xinwei Technology Group is buying Spacecom and will integrate it into an existing Luxembourg company called Luxembourg Space Telecommunication S.A., which will be the legal purchaser of Spacecom. Beijing Xinwei also owns an Israeli company, Big Bird Ltd., which will handle the transaction and assure a continued Israeli presence for the company’s assets.