CARLSBAD, Calif.--(BUSINESS WIRE)--Regulatory News:
Eutelsat Communications (Paris:ETL) and ViaSat Inc. (NASDAQ:VSAT) today closed their partnering arrangement combining Eutelsat’s established European broadband business with ViaSat’s broadband technology know-how and Internet Service Provider (ISP) business expertise.
Building on a decade-long relationship, Eutelsat and ViaSat are creating a partnership that will expand Eutelsat’s current wholesale broadband business and launch a new consumer retail service in Europe. Headquartered in Lausanne, Switzerland, the joint venture will consist of two businesses coordinating efforts to expand the European broadband market:
Wholesale Services will focus on providing wholesale broadband and mobility services in the European and Mediterranean regions to the newly established retail services business and existing Eutelsat distributors. Eutelsat is contributing its current European broadband business including the KA-SAT satellite to the newly formed entity, owned 51% by Eutelsat. ViaSat has acquired a 49% interest in the business for a consideration of €132.5 million.
Retail Services will focus on offering retail broadband services in the European and Mediterranean regions. Enhanced service plans are expected to be introduced in select European countries from 2017 onwards, setting a foundation for growth in the retail services business with the availability of future satellite capacity. This business is owned 51% by ViaSat and 49% by Eutelsat.
About Eutelsat Communications
Established in 1977, Eutelsat
Communications (Euronext Paris: ETL, ISIN code: FR0010221234) is one of
the world's leading and most experienced operators of communications
satellites. The company provides capacity on 40 satellites to clients
that include broadcasters and broadcasting associations, pay-TV
operators, video, data and Internet service providers, enterprises and
government agencies. Eutelsat's satellites provide ubiquitous coverage
of Europe, the Middle East, Africa, Asia-Pacific and the Americas,
enabling video, data, broadband and government communications to be
established irrespective of a user's location. Headquartered in Paris,
with offices and teleports around the globe, Eutelsat represents a
workforce of 1,000 men and women from 37 countries who are experts in
their fields and work with clients to deliver the highest quality of
service. Visit Eutelsat at www.eutelsat.com.
About ViaSat
ViaSat, Inc. (NASDAQ: VSAT) keeps the world
connected. As a global broadband services and technology company, ViaSat
ensures consumers, businesses, governments and military personnel have
communications access – anywhere – whether on the ground or in-flight.
The Company’s innovations in designing highest-capacity satellites and
secure ground infrastructure and terminal technologies coupled with its
international network of managed Wi-Fi hotspots enable ViaSat to deliver
a best available network that extends the reach and accessibility of
broadband internet service, globally. For more information, visit: www.viasat.com,
or follow ViaSat on Facebook, Twitter, LinkedIn or YouTube.
Forward-Looking Statements
This press release contains
forward-looking statements that are subject to the safe harbors created
under the Securities Act of 1933 and the Securities Exchange Act of
1934. Forward looking statements include among others, statements about
the future plans, operation and performance of the strategic partnering
arrangement and its business prospects, and the expansion and growth of
broadband markets. Readers are cautioned that actual results could
differ materially from those expressed in any forward-looking statements
as these statements are not of historical facts and represent only the
Company's current expectations regarding such matters. These statements
inherently involve a wide range of known and unknown risks and
uncertainties. Factors that could cause actual results to differ
include: the parties' ability to successfully integrate and operate the
new strategic partnering arrangement, and achieve expected synergies and
other benefits; the ability to attract and retain key employees for the
new strategic partnering arrangement; the impact of competition; the
ability to develop products and technologies; the impact of changes in
the financial markets and global economic conditions; risks associated
with the construction, launch and operation of satellites used to supply
these new services, including the effect of any anomaly, operational
failure or degradation in satellite performance; reduced demand for
products as a result of constraints on capital spending by customers;
changes in relationships with, or the financial condition of, key
customers or suppliers; reliance on a limited number of third parties to
manufacture and supply products; ViaSat's level of indebtedness and
ability to comply with applicable debt covenants; and other factors as
may be detailed from time to time in the Company's public announcements
and SEC filings. Please refer to the risk factors contained
in ViaSat's SEC filings available at www.sec.gov,
including ViaSat's most recent Annual Report on Form 10-K and Quarterly
Reports on Form 10-Q. Readers are cautioned not to place undue reliance
on any forward-looking statements, which speak only as of the date on
which they are made. ViaSat undertakes no obligation to update or revise
any forward-looking statements for any reason.
Copyright © 2017 ViaSat, Inc. All rights reserved. All other product or company names mentioned are used for identification purposes only and may be trademarks of their respective owners. ViaSat is a registered trademark of ViaSat, Inc.
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