Geostationary (GEO) satellite operator Eutelsat has concluded its acquisition of Low Earth Orbit (LEO) operator OneWeb.
Eutelsat Communications has confirmed the successful culmination of its 14-months long all-share merger with OneWeb, following resounding approval granted at the General Meeting of Eutelsat shareholders. Plans to merge the two companies were announced in July 2022. The new combined company is known as Eutelsat Group. With this move, the company is the only satellite firm operating in both GEO and LEO.
In the words of Dominique D’Hinnin, Chairman of the Board of Directors, “This is an historic moment for the satellite industry. We are bringing together two businesses that are at the forefront of delivering integrated, seamless, and reliable connectivity to customers worldwide. We will be moving fast to accelerate the growth of the combined business. With the support of strategic shareholders of both entities, we are confident of maximizing financial performance and operational excellence, while capitalizing on the high-return investment of next-generation satellites.”
Eva Berneke, Eutelsat CEO, said: “Eutelsat Group is the only GEO-LEO operator in satellite communications that can offer a ubiquitous connectivity service. The Eutelsat-OneWeb combination has given us the scale, financial strength, and business proposition to capitalize on the significant opportunity.”
Sunil Bharti Mittal, Vice-President (Co-Chair) of the Board of Directors, expressed his enthusiasm, “This exciting combination will be transformative for communities and businesses worldwide, utilizing the unique blend of GEO and LEO technologies. This is a major milestone for us, our partners, and the customers we serve. Closing the digital divide is a critical mission for Eutelsat Group, and the combination of these two businesses, which have each pursued this goal separately, accelerates our progress.”
The union of these two businesses has given rise to the Eutelsat Group, headquartered in Paris, while OneWeb will function as a subsidiary, operating commercially under the name Eutelsat OneWeb, based in London.
The combined GEO-LEO service is expected to open up new markets and applications for customers, including fixed connectivity solutions, government services, mobile connectivity for applications like maritime and in-flight, while broadcast and video services will remain central to Eutelsat Group’s core business.
