The owner of Spanish satellite operator Hispasat has confirmed the group is in talks to acquire a controlling stake in its Israeli counterpart Spacecom.
Infrastructure giant Abertis, which holds 57% of Hispasat, said it is discussing the final terms of…
The owner of Spanish satellite operator Hispasat has confirmed the group is in talks to acquire a controlling stake in its Israeli counterpart Spacecom.
Infrastructure giant Abertis, which holds 57% of Hispasat, said it is discussing the final terms of its offer but no agreement has been reached.
“This would be a strategic transaction for Hispasat’s development as a global operator and for the development of the Spanish aerospace industry,” it said in a brief statement today.
According to Spanish newspaper Expansion, the bid values Spacecom at €350m (US$484m), representing a 25% premium on its market capitalisation.
Spacecom is controlled by Israeli tycoon Shaul Elovitch’s private holding company Eurocom, which also has stakes in Israeli service provider Gilat Satellite Networks and DTH operator YES.
If successful, Hispasat would seek to buy out the remaining shares to delist the operator, added the newspaper.
Spacecom first told its local stock exchange that it was exploring a sale or merger in December, after being approached by interested parties.
Back then local reports claimed it was seeking US$500m-US$600m, or double its market cap, and Hong Kong’s AsiaSat was also said to be looking at the asset.
SatelliteFinance understands that JP Morgan is running the sales process.
Abertis took control of Hispasat last year when it bought a 16.42% stake from the Spanish government.
The potential Spacecom deal comes as Hispasat assesses the impact of an anomaly it recently found on the Amazonas 4A satellite that was launched last month.
Willis is understood to have placed Amazonas 4A’s US$200m insurance, and any claim would likely be for a partial loss.
