TV channels carried by SES satellites pictured on a screen in October 2013
Luxembourg’s satellite giant has received the official OK to take full control of a low cost satellite network.
SES said this week that shareholders and regulators agreed it could to buy out the remaining shares of O3b Networks, an eight year old company which provides high speed internet to emerging markets.
In April, SES said it would boost its existing holding in O3b from 49.5% to a controlling 50.5% share. Then on 26 May, the firm said it would raise €908.8m in capital in order to take 100% ownership of O3b.
Betzdorf-based SES will spend $730m and take on $1.2bn in O3b net debt, but expects to gain “synergies” of €53m in 2017, “increasing to €106m annually by 2021”, it stated in an announcement on Monday.
“Full consolidation accelerates the delivery of important transformational and combinational synergies that are only possible with 100% ownership,” Karim Michel Sabbagh, CEO of SES, said in the release.
SES had a fleet of more than 50 geostationary satellites and reported more than €2bn in revenue last year.