Eutelsat in Talks for Carve-Out, Partial Sale of Ground Infrastructure Assets

By Pierre Bertrand

Eutelsat Communications said it is negotiating with investment fund EQT for the carve-out and partial sale of its passive ground infrastructure assets.

Eutelsat said the assets would be combined into a new standalone company, which has a contemplated enterprise value of 790 million euros ($862.6 million).

EQT would own 80% of the company's capital, with Eutelsat holding on to the remainder, the satellite operator said.

The assets include land, buildings, support infrastructure, antennas and connectivity circuits for the combined portfolio of teleports and satellite network portals, Eutelsat said.

In all the company would consist of around 1,400 antennas in more than 100 locations worldwide, EQT said separately.

Upon completion of the deal Eutelsat will enter into a long-term framework master service agreement with the newly-formed company and become the anchor tenant, EQT said.

The deal is subject to regulatory approval and expected to close in the first quarter of 2026.

Write to Pierre Bertrand at pierre.bertrand@wsj.com

(END) Dow Jones Newswires

August 09, 2024 12:37 ET (16:37 GMT)

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