NewSat flags interest in acquiring Optus

NewSat flags interest in acquiring Optus

Australian satellite company NewSat has confirmed its interest in acquiring SingTel’s Optus Satellite.

The unit, worth a reported $1.88 billion, could be subject to a bid from NewSat after the company’s chief executive Adrian Ballintine said numerous private equity firms and investment banks had sounded out a possible merger between the two companies.

“There is a great opportunity for us to be a participant,” Ballintine told local Australian press.

There has been widespread private equity interest in Optus Satellite, with KKR and Carlyle Group the front runners in the process so far.

SingTel is looking to divest the unit as it attempts to raise capital to fund growth in faster-growing markets.

The company is inviting first round bids on June 14, with France’s Eutelsat Communications, SA, Blackstone Group and Providence Equity Partners also expected to bid.

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