Ibadan, 2 May 2024. – SES S.A. (“SES”) and Intelsat S.A. (“Intelsat”) have announced an agreement for SES to acquire Intelsat through the purchase of 100% of the equity of Intelsat Holdings S.a.r.l. for a cash consideration of $3.1 billion (€2.8 billion) and certain contingent value rights. The combination seeks to create a stronger multi-orbit operator with greater coverage, improved resiliency, an expanded suite of solutions, enhanced resources to profitably invest in innovation, and benefit from the collective talent, expertise, and track record of both companies.
The transaction, which is subject to relevant regulatory clearances/filings and customary provisions concerning cooperation and measures in seeking such regulatory clearances, is fully supportive of SES’s financial policy. Furthermore, it is underpinned by expected total synergies equivalent to 85% of the total equity value of the transaction. The Board of Directors of both Companies also unanimously approved the transaction, and Intelsat shareholders holding approximately 73% of the common shares have entered into customary support agreements requiring them to vote in favour of the transaction.
Adel Al-Saleh, CEO of SES, commented “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.” The CEO also added, “In a fast-moving and competitive satellite communication industry, this transaction expands our multi-orbit space network, spectrum portfolio, ground infrastructure around the world, go-to-market capabilities, managed service solutions, and financial profile.”
Likewise, David Wajsgras, CEO of Intelsat, commented: “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.”
