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Inmarsat accepts $3.4bn takeover offer

The acquisition is expected to become effective during Q4 2019, pending relevant competition authority clearances.

UK-based satellite communications provider Inmarsat has accepted a USD 3.4 billion takeover offer from a newly-formed Triton Bidco consortium, made up of London-based Apax, New York-based Warburg and two Canadian pension funds – Canada Pension Plan Investment Board (CPPIB) and Ontario Teachers’ Pension Plan Board.

The acquisition is expected to become effective during Q4 2019, pending relevant competition authority clearances.

“As experienced and long-term investors in telecommunications, the consortium values and admires Inmarsat for its proven expertise in maritime, aviation, defence and broadband satellite communications, alongside its strong market positions and potential for growth,” consortium principals said commenting on the acquisition.

“Following completion of the transaction, we intend to maintain Inmarsat’s UK headquarters, and to work with its highly skilled workforce to realise the company’s full potential.”
Triton Bidco noted it would ensure that Inmarsat complies in full with the obligations under the Public Services Agreement with International Mobile Satellite Organization in respect of the provision of the Global Maritime Distress and Safety System.

The investor group said it would keep Inmarsat’s headquarters in the UK and maintain the company’s spending on research and evelopment. Inmarsat employs 800 people at its base in London, out of a 2,000-strong global workforce.