Intelsat will receive nearly $3.7bn in Q4 after completing C-band frequency clearing, providing future strategic opportunities for the company and its shareholders.
Dave Wajsgras, CEO at Intelsat, said: “Intelsat’s C-band transition facilitates broader 5G services in the United States, while strengthening our financial position. We reached this milestone well ahead of expectations, and I’m exceptionally proud of the Intelsat team and the hard work that led to this remarkable achievement.”
The Federal Communications Commission (FCC) C-Band Transition Order set a deadline to clear the spectrum by December 2025 but offered incentive payments to satellite operators if cleared before December 2023. With the validated certification now complete, Intelsat will receive accelerated relocation payments totalling $3.67bn.
Wajsgras added: “Half of these proceeds will be used to deleverage our balance sheet, consistent with our debt covenants, while the remainder provides Intelsat with various options to create value and opportunities for all of our stakeholders. The Intelsat team is well positioned to remain a leader in the satellite communications industry as we continue transforming the company for the future.”