SES would consider acquiring the regional satellite unit of Greek telco OTE if it is put up for sale, CEO Romain Bausch told journalists on 14 September.
“OTE may consider selling Hellas Sat,” said Bausch on the sidelines of the satellite finance…
SES would consider acquiring the regional satellite unit of Greek telco OTE if it is put up for sale, CEO Romain Bausch told journalists on 14 September.
“OTE may consider selling Hellas Sat,” said Bausch on the sidelines of the satellite finance conference in Paris. “The decision on the sale hasn’t been taken, but once they decide we’re interested in looking.”
However, Bausch also highlighted “political obstacles” that could inhibit a foreign company’s approach for the group, which has its headquarters in Athens and Nicosia. Although SES has a good relationship with Hellas Sat through being contracted to provide, install, and integrate its ground infrastructure, “that doesn’t mean we’ll get a good price”, he added.
A spokesman for OTE insisted the group still has no plans to sell the unit, and pointed to its Q2 results call on 4 August when CFO Kevin Copp said such a decision had not been taken.
However, the incumbent telco is under pressure to reduce costs as the Greek economy continues to suffer from a hard-hitting recession.
The OTE group posted €2.48bn (US$3.4bn) in revenue for the six months to the end of June 2011, compared with €2.76bn (US$3.8bn) for the corresponding period last year. H1 2011 profit before tax was €156.4m (US$214m), compared with €220.7m (US$302m) for H1 2010.
In its latest public financial results, Hellas Sat posted 2010 revenues up 9.7% year-on-year to €30.21m (US$41.3m). Its 2010 OIBDA stood at €21.48m (US$29.4m).
Commenting on buyer interest, one analyst observed: “You would effectively be buying a single ageing satellite so it would really be about the orbital slot and regulatory allocations.”
Back in August, OTE confirmed it was seeking to proceed with plans to launch a new DTH platform in Greece, called Conn-x TV Sat.
The group was first cited in February outlining intentions to set up a platform to provide the same services as its IPTV unit Conn-x TV, but with additional HD channels.
But these new services will reportedly be transmitted via European operator Eutelsat’s Eurobird 9A at 9E. They will compete with DTH firm Nova Greece’s local platform, which uses Eutelsat’s Hot Bird-9 satellite at 13E.
Suggestions that OTE does not consider Hellas Sat to be a core asset have prompted the speculation that it could soon be offloaded.
The OTE spokesman said that no advisor had been appointed to consider a sale of Hellas Sat.
