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Eutelsat confirms infrastructure sale; America boss exiting

December 3, 2024

By Chris Forrester

Eutelsat Group has exercised the put option signed with EQT Infrastructure VI fund on August 9th regarding a majority stake in a newly created entity that will hold Eutelsat’s passive ground infrastructure assets. This decision follows the completion of the consultation processes with relevant employee representative bodies of Eutelsat.The exercise of the put option led to the signing of a binding Share Purchase Agreement (SPA) between Eutelsat and EQT.

As announced on August 9th upon signing of the Put Option Agreement, the transaction consists in the carve-out of the Eutelsat’s passive ground infrastructure assets (land, buildings, support infrastructure, antennas and connectivity circuits for the combined portfolio of teleports and SNPs) to form a new company to be incorporated as a standalone legal entity. Under the terms of the agreement, EQT will acquire an 80 per cent stake in this new entity, while Eutelsat Group will remain a long-term shareholder, anchor tenant and partner of the new company with a 20 per cent holding alongside EQT.

The transaction values the new entity at an enterprise value of €790 million. It remains subject to customary conditions precedent, and closing of the deal is expected in the first quarter of calendar year 2026.

Meanwhile, Kevin Steen (Pictured), President and CEO at Eutelsat America, as well as OneWeb Technologies (EACOWT), is unexpectedly stepping down, effective December 20th. He is being replaced by Ian Canning, currently COO as CEO.

Steen joined OneWeb Technologies (OWT) as CEO in 2022, and played a pivotal role in driving OWT’s growth and expanding its presence in the US government and commercial sectors.
“Kevin continued his leadership through the merger of Eutelsat America Corp. and OWT, enabling the organisation to go to market as EACOWT, a single entity. The combined company brings an unparalleled, multi-orbit satellite communications capability to address the unique mission needs of the US government,” said a Eutelsat statement.
“It has been a privilege to lead EACOWT as these two teams come together as one,” said Steen. “I am proud of what we have accomplished together and am confident the company is well-positioned for continued success going forward.”
Dr Pamela Drew, Chair of EACOWT’s Board of Directors, added: “We thank Kevin for his significant contributions to the company and wish him the very best in his future endeavours. His vision and leadership have laid a strong foundation for the company’s continued success in delivering innovative and reliable satellite communications solutions to our customers.”

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