UPDATE Satellite operator Viasat (NASDAQ: VSAT) expects to soon complete its pending buyout of British rival Inmarsat (ISAT.LN) — bulking up the combined companies’ competitive position amid stiff rivalries in the satellite broadband market. Following the recent European Commission and FCC approval of the deal, Viasat said the two companies will now work to expedite completion of the transaction.
The San Diego Union-Tribune reports that in late 2021, Viasat agreed to pay $850 million in cash, issue 46.3 million shares of stock and assume $3.4 billion in debt to acquire London-based Inmarsat. Those terms today value the acquisition at $6 billion.
Viasat is a supplier of secure satellite communications and other services to the civil sector and various U.S. government departments, including the Pentagon. Inmarsat provides satellite-based communications services to aviation, shipping and government agencies, notes c4isrnet.
Inmarsat chief executive Rajeev Suri will step down from his role once the Viasat acquisition closes. He has been nominated to serve on Viasat’s board of directors, according to Riviera Maritime Media.
By Leslie Stimson, Inside Towers Washington Bureau Chief
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