Satellite company SES is to acquire its rival Intelsat in a deal worth $3.1 billion (€2.8 billion).
According to SES, the deal will create a “stronger multi-orbit operator with greater coverage, improved resiliency, [and an] expanded suite of solutions”.
The deal is subject to relevant regulatory clearances/filings, and is expected to be completed during the second half of 2025.
It has been unanimously approved by the board of directors of both companies and Intelsat shareholders holding approximately 73 per cent of the common shares have entered into customary support agreements requiring them to vote in favour of the transaction, said SES.
Key highlights of the deal, according to the companies, are:
• Expands multi-orbit satellite-based capabilities, spectrum portfolio, and global ground network to serve customers.
• Increases revenue in high demand and growing networks segments representing ~60 per cent of expanded revenue base.
• Combines complementary investment in space, ground, and network innovation to unlock future value and opportunity.
• Brings together a wealth of collective talent, expertise, engineering knowledge, and go-to-market capabilities.
Speaking about the deal, Adel Al-Saleh, CEO of SES, said: it will bring value-added, efficient, and reliable offerings for both companies’ media customers.
The companies added that it will bring together complementary capabilities for customers including pay-TV operators, free-to-air/free-to-view platforms, public and private broadcasters, and sports and events brands who will have access to global audience reach with improved redundancy features via a competitive range of broadcast solutions, plus additional value-added services.
“This important, transformational agreement strengthens our business, enhances our ability to deliver world-class customer solutions, and generates significant value for our shareholders in a value accretive acquisition which is underpinned by sizeable and readily executable synergies,” Al-Saleh added.
David Wajsgras, CEO of Intelsat, commented: “Over the past two years, the Intelsat team has executed a remarkable strategic reset. We have reversed a 10-year negative trend to return to growth, established a new and game-changing technology roadmap, and focused on productivity and execution to deliver competitive capabilities. The team today is providing our customers with network performance at five 9s and is more dedicated than ever to customer engagement and delivering on our commitments. This strategic pivot sets the foundation for Intelsat’s next chapter.
