SES Global S.A. and Swedish Space Corporation (SSC) have announced that they have entered into a definitive agreement whereby SES Global increased its existing interest in Sweden’s Nordic Satellite AB (NSAB) from 50% to 75%, by acquiring an additional 25% stake from SSC. Financial terms of the transaction, which is expected to close on February 2nd, 2004, were not disclosed.
By increasing its interest in NSAB, SES Global intends to benefit from enhanced synergies between its European ASTRA satellite system and NSAB’s SIRIUS satellites, whilst the legal, corporate and brand identity of NSAB-SIRIUS will continue to be maintained. SES has been a 50% stakeholder in NSAB since October 2000.
Commenting on the transaction, Romain Bausch, President and CEO of SES Global said: “With the full strategic and organizational integration of the SIRIUS satellites into the SES Global fleet, whilst maintaining the integrity of NSAB, SES is committed to further optimize its existing orbital assets over Europe and to coordinate fully the ASTRA and SIRIUS sales and marketing activities as well as their proven expertise to the benefit of their respective customers.”
In the context of the transaction, the parties have also concluded a new shareholders agreement whereby Swedish Space Corporation will retain a 25% interest in NSAB and, under a new Technical Services Agreement, will continue to provide Network operations as well as Satellite Control, Telemetry, Tracking & Control (TT&C) services to the SIRIUS satellites.
Claes-Goran Borg, CEO of SSC, states: “The integration of NSAB’s SIRIUS satellite system into the world’s largest satellite operation, coupled to fully concerted sales, marketing and technological development efforts amongst NSAB and ASTRA, provides new impetus to NSAB as a leading Nordic satellite operator with strong Swedish roots in an industry prone to further consolidation on an international scale.”
