Eutelsat will receive a 24 per cent equity stake in OneWeb and similar governance rights to the U.K. Government and Bharti Global
Global communications network OneWeb announced that it has secured $550 million in funding from Eutelsat Communications, bringing its total funding to $1.9 billion in fresh equity. The investment is expected to be completed in the second half of 2021, subject to regulatory approvals.
“This investment from one of the world’s most experienced and largest global operators is a vote of confidence in OneWeb and underscores the arrival of Low Earth Orbit (LEO) satellites into mainstream long-term growth planning for major operators,” the company said in a statement. OneWeb is backed by Bharti Group.
French geostationary satellite operator Eutelsat will receive a 24 per cent equity stake in OneWeb and similar governance rights to the U.K. Government and Bharti Global, making it a significant equity partner and joining leading investors including the U.K. Government, Bharti Global and SoftBank.
The statement added, “OneWeb’s 648 LEO satellite fleet will deliver high-speed, low-latency global connectivity and its partnership with Eutelsat, a global geostationary satellite operator, will enhance both companies’ commercial potential, leveraging Eutelsat’s established commercial reach to governments and enterprise customers in addition to its strong institutional relationships, recognised technical expertise and global fleet.“
After OneWeb completes the full deployment of the constellation, the company anticipates annual revenues of approximately $1 billion in year three or soon thereafter, thanks to its partnership-driven, wholesale business plan.
Sunil Bharti Mittal, Founder and Chairman of Bharti Enterprises said, “Together we are stronger, benefitting from the entrepreneurial energy of Bharti, the extensive global outreach of the UK Government and the expertise in the satellite industry at Eutelsat. OneWeb, with its innovative and disruptive approach, is poised to take a leading position in LEO broadband connectivity.”
“We now have 80 per cent of the necessary financing for the Gen 1 fleet, of which nearly 30 per cent is already in space,” informed OneWeb CEO Neil Masterson
OneWeb recently launched another 36 satellites into its constellation bringing the system to 182 satellites.
