PARIS, FRANCE: SES S.A. has announced the acquisition of Intelsat S.A. through a purchase agreement valued at $3.1 billion (€2.8 billion) in cash and additional contingent value rights. This strategic acquisition is poised to create a formidable multi-orbit operator with an extensive coverage area, enhanced resiliency, and a broadened suite of solutions.

Strategic Benefits and Financial Highlights:

• The merger is expected to deliver €2.4 billion in synergies, representing 85% of the equity consideration, with a significant portion realized within three years post-closing.
• The combined entity will boast a gross backlog of €9 billion, revenues of €3.8 billion, and an Adjusted EBITDA of €1.8 billion.
• A commitment to maintaining investment-grade metrics with net leverage below three times within 12-18 months post-closing is a key financial goal.
• Shareholders can anticipate an annual dividend of €0.50 per A-share, supported by an expanded free cash flow base.

Leadership Perspectives: Adel Al-Saleh, CEO of SES, expressed enthusiasm for the merger, highlighting the significant value creation for shareholders and the bolstered capacity to deliver cutting-edge customer solutions. David Wajsgras, CEO of Intelsat, emphasized the company’s return to growth and the establishment of a new technology roadmap, setting the stage for Intelsat’s next chapter.

Market Impact and Future Outlook: The transaction is set to enhance SES’s competitive positioning, offering customers a more robust portfolio of solutions across Government, Mobility, Fixed Data, and Media segments. The combined company will leverage its expanded network to meet the growing demand for secure, high-performance connectivity.

Closing and Advisory: Subject to regulatory approvals, the deal is expected to close in the second half of 2025. Guggenheim Securities, Morgan Stanley & Co. LLC, and Deutsche Bank Securities Inc have acted as financial advisors, with several top-tier legal firms providing counsel.

This merger marks a pivotal moment for SES and Intelsat, uniting their strengths to drive innovation and growth in the satellite communications industry, and offering a compelling alternative in an era characterized by rapid growth and intense competition.

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