The deal is subject to many regulatory approvals due to the satellite firm having operations in the Americas, Europe and North Africa
Indra Group has agreed with Redeia Corporación to acquire 89.68% of the share capital of Hispasat, the satellite operator and service provider, for €725 million. To this end, Indra Group has secured financing for a total of €700 million. The outstanding amount will be covered by its existing cash balance.
The transaction is subject to regulatory approvals in Spain and elsewhere, as well being approved at Indra’s General Shareholders’ Meeting. The deal is also subject “to the execution of those agreements necessary for the accounting consolidation of Hisdesat Servicios Estratégicos S.A. by Indra, an operator of government satellite services in the fields of defence, security, intelligence and foreign affairs”.
Spain’s Indra Group is a holding company that includes Indra, a major global defence, air traffic and space company and Minsait, a digital transformation and IT firm in Spain and Latin America.
Source: Indra Group, figures correct at the end of 2023
For its part, according to its website, Hispasat, offers broadband and satellite connectivity including internet access, mobility and extension of cellular networks, and value-added services to governments, corporations and telecom operators in the Americas, Europe and North Africa.
It distributes audiovisual content in Spanish and Portuguese, including the transmission of digital platforms for direct to home TV (DTH) and high definition television (TVAD). It also as well as the management of transport and audiovisual signal from the Hispasat Peru teleport in Lurín.
Hispasat’s Brazilian subsidiary Hispamar is one of the world’s leading companies by revenue in its sector and “the main communications bridge between Europe and America”.