Eutelsat has officially acquired 100% of Satélites Mexicanos (Satmex) for USD 831 million. From January 1, 2014, the Latin American operator will be consolidated in the accounts of Eutelsat Communications.
The acquisition of 100% of Satmex’s share capital was first announced in July last year. However, the French satellite operator has since obtained all government and regulatory approvals. The financing requirements in connection with the acquisition are covered following the December 13 issuance of 6-year senior unsecured bonds for a total of USD 1.27 billion, which were secured at attractive terms.
Satmex operates three satellites to cover 90% of the population within the Americas. Satmex 5 is located at 114.9 degrees West, Satmex 6 at 113 degrees West and Satmex 8 at 116.8 degrees West. New satellites Satmex 7 and 9 are under construction and once launched in 2015, will more than double Satmex’s in-orbit capacity.
“With the acquisition of Satmex, Eutelsat is significantly upscaling activity in the Americas to complement our strong presence in fast-growing markets. Satmex’s strategic orbital slots, which will be expanded in 2015 with two further high-performance satellites, bring Eutelsat a robust platform from which to access significant opportunities in this region. They will be further complemented by the EUTELSAT 65 West A satellite that we will launch in advance of the 2016 Olympic Games in Rio de Janeiro to serve video and broadband markets in Latin America,” says Michel de Rosen, Eutelsat CEO and Chairman.