Viasat gets CMA clearance for Inmarsat takeover
Viasat’s proposed acquisition of Inmarsat has received unconditional clearance from the UK’s Competition and Markets Authority (CMA).
The CMA says the proposed acquisition will not raise competition concerns, allowing the deal to proceed without remedies.
In October, the CMA said the merger gives “rise to a realistic prospect of a substantial lessening of competition”, and it believed that are “are currently the strongest [in-flight connectivity] providers available to airlines”.
But the CMA has since changed its tune with its thoughts on the deal.
The proposed deal has now received clearance from the UK government under the National Security and Investment Act and the CMA, as well as the Australian government’s Foreign Investment in the US.
"We're delighted with the CMA's decision to unconditionally clear the deal to acquire Inmarsat, as it represents a critical step in securing final approvals to complete this transaction," said Mark Dankberg, chairman and CEO of Viasat.
"The decision validates our position that the combination of our two companies will strengthen competition in a dynamic market that continues to attract substantial levels of investment and enables us to offer better services to our customers.
“Additionally, this deal will also create new high-skill technology jobs, deepen Viasat's capabilities in the UK, and ultimately help to deliver the goals of the UK's National Space Strategy.
“I appreciate the extensive review by the CMA to review this transaction and thank them for their efforts."
The companies will continue to work through other regulatory approvals and update on transaction close timing as those processes continue.