Eutelsat has signed an approximately €1bn export credit agency-backed financing agreement to support the procurement of new low Earth orbit satellites for its OneWeb constellation, strengthening the company’s refinancing strategy and long-term deployment plans.
The funding will be provided by a consortium of commercial banks benefiting from a French state guarantee arranged through Bpifrance Assurance Export, covering roughly €975m equivalent. The facility will be extended to Eutelsat Communications and will rank equally with the entity’s existing debt obligations. Disbursement remains subject to standard conditions, including the completion of a bond issuance.
The financing supports a recently announced agreement with Airbus Defence and Space for the production of 340 additional LEO satellites, supplementing 100 already ordered. The spacecraft will be manufactured at Airbus’ Toulouse facility and are intended to maintain service continuity by gradually replacing aging satellites within the constellation as they reach the end of their operational lifespan.
Jean-Francois Fallacher, Chief Executive Officer of Eutelsat said: “We are delighted to secure this crucial aspect of Eutelsat’s refinancing plan. We are grateful to the French State for its unwavering support. This funding significantly strengthens our financial structure and gives us the means to support the deployment of our LEO activities.”
Financial institutions involved in structuring the deal include Société Générale as sole global coordinator and bookrunner, alongside mandated lead arrangers Commerzbank, Crédit Agricole Corporate and Investment Bank — which also serves as facility agent — ING Bank and Helaba. Advisory roles were handled by Rothschild & Cie for Eutelsat, with legal counsel provided by Latham & Watkins and De Pardieu Brocas Maffei representing the lending banks.
The financing package positions Eutelsat to advance the next phase of its satellite renewal programme while ensuring operational resilience for customers relying on the OneWeb network.
Add Comment