27 April 2018
| James Pearce
Middle Eastern satellite provider Yahsat has entered into an agreement that will see it buy a majority stake in rival Thuraya as it looks to boost its global footprint.
The acquisition of Thuraya, which is
United Arab Emirates first home-grown satellite operator,
will add two new satellites serving 140 countries to the Yahsat
portfolio, taking its fleet to a total of five.
The deal will give Yahsat the ability to offer satellite
services across the C, Ka, Ku and L-bands to customers in
Europe, Africa, the Middle East, South America and Asia.
The combined firm will offer a range of services in telecoms
including voice and data communications to both the commercial
and government sectors, Yahsat said, allowing it to "explore
potential growth opportunities".
No fee was disclosed for the potential transaction, which
Yahsat said it expects to close after unspecified customary
conditions have been met. The deal will also be subject to
Yahsat is headquarted in Abu Dhabi and is wholly-owned by
the Mubadala Investment Company, part of the government of Abu
Dhabi. It recently launched Al Yah 3, expanding its Ka-band
coverage to an additional 20 markets.
The satellite telecoms market has been growing, according to
a market research report, showing 6.3% growth between 2013 and
2018. The likes of OneWeb, which is set to launch a satellite
internet constellation next year, could boost this further.
This has led to a number of consolidation moves, including
the proposal from OneWeb to buy Intelsat that collapsed last