Low Earth orbit (LEO) satellite operators Lynk Global and Omnispace are to merge.

The two companies this week announced plans to merge to “deliver a comprehensive direct-to-device (D2D) connectivity solution.”

Terms of the deal weren’t shared. The transaction is expected to close late this year or early next year.

The combined entity will use Omnispace’s 60MHz of globally coordinated S-band spectrum, which includes a global S-band footprint.

Upon closing, Lynk CEO Ramu Potarazu will serve as the CEO of the combined unit, while Omnispace CEO Ram Viswanathan will serve as the chief strategy officer of the new entity.

“We now have the right mix of technology, spectrum, and leadership to extend mobile connectivity where and when it’s needed most,” said Lynk CEO Potarazu. “This merger will enable us to accelerate our efforts in delivering seamless, reliable messaging, voice, and data services – serving MNOs, as well as consumer, commercial, and industrial vehicles, and government and utility sectors worldwide.”

Cell-tower-in-space firm Lynk currently has five small satellites in LEO. Founded in 2017, Lynk has raised more than $200 million to date and counts SES as an investor. The company recently backed off from plans to go public via a SPAC merger with Slam Corp.

The company has signed commercial agreements with more than 50 MNOs covering more than 50 countries, including Spark in New Zealand, Vodafone Ghana, Globe Telecom in the Philippines, Telecel’s Centrafrique in the Central African Republic, Rogers in Canada, TPG in Australia, Telikom in Papua New Guinea, and the US government.

“This merger unlocks the full potential of our global S-band spectrum assets and positions us at the forefront of D2D,” said Omnispace’s Viswanathan. “By combining Omnispace’s spectrum portfolio with Lynk’s innovative technology, we’re creating a powerful platform for scalable, cost-effective global D2D that will serve the immediate connectivity needs of customers and has the spectrum to enhance capacity over time.”

Omnispace was set to deploy a constellation of more than 600 direct-to-device satellites in LEO and MEO by 2045. The company had previously deployed two test spacecraft in LEO and one into MEO. Omnispace has previously partnered with pan-African telco MTN and Saudi telecoms firm STC.

European satellite operator SES, which has invested in both companies, will become a “major strategic shareholder” in the combined group, though details weren’t shared.

The announcement noted SES will provide access to its multi-orbit network and global ground infrastructure. The company will also support the engineering, operations, and regulatory needs of the combined entity.

“We see enormous opportunities in D2D and IoT connectivity,” said Adel Al-Saleh, CEO, SES. “The planned combination of Lynk and Omnispace will offer SES access to new LEO capabilities that align with our strategy to diversify into this high-growth segment. This merger pairs an industry-leading global spectrum portfolio with a disruptive, cost-effective satellite technology platform – accelerating deployment and delivering significant value to our commercial and government customers.”

Earlier this year, Omnispace complained that its satellites were experiencing interference from SpaceX’s new direct-to-device Starlink satellites, which operate in similar frequencies.