Mexican satellite operator Satmex has retained Lazard as its sole adviser to conduct a comprehensive review of the company’s capital structure and to assist it in executing its strategy to obtain financing for the construction of its Satmex 8…
Mexican satellite operator Satmex has retained Lazard as its sole adviser to conduct a comprehensive review of the company’s capital structure and to assist it in executing its strategy to obtain financing for the construction of its Satmex 8 satellite.
Patricio Northland, Satmex’s chief executive officer, stated: “We continue to execute on our previously announced initiatives and remain focused on our financial strategy to replace our existing Satmex 5 satellite with a new 64 transponder, C- and Ku-Band satellite as contracted with Space System/Loral, reducing cash outflows and decreasing our leverage.
“By retaining Lazard, we are broadening our perspectives on our asset management initiatives, as well as examining our capital structure for a longer-term solution to enhance Satmex’s value for its stakeholders.”
Despite recent comments from Mexico’s Communications and Transportation Secretary Juan Francisco Molinar Horcasitas that a new accord had been agreed with EchoStar over the sale of Satmex to the latter, the Satmex management has continued to push ahead with its turn around strategy of ordering a new satellite and securing new financing. The plan has the backing of the company’s senior bondholders, which blocked EchoStar’s initial attempt to takeover the company back in March 2010.
Satmex was previously being advised on its options as well as its negotiations with its bondholders by Perella Weinberg Partners. Jefferies has been advising the ad hoc committee of Satmex bondholders on both the EchoStar offer and the potential refinancing alternatives for Satmex.
