Alcatel Spacecom, Arianespace buy 13 % stake in Agrani for $ 20 m

International satellite major Alcatel Spacecom and the European rocket launch agency Arianespace have cleared the decks to buy into the Subhash Chandra-promoted Agrani Satellite Services Ltd (ASSL).

It is understood from FIPB (Foreign Investment Promotional Board) sources that Alcatel Spacecom and Arianespace have made individual submissions to the board for their investments in ASSL to the tune of $15 million (9.75 per cent) and $ 5 million (3.25 per cent) respectively for a combined 13 per cent stake in the Rs 1,1500-million satellite project.

The submissions were made yesterday. These individual submissions are under the overall umbrella of up to 74 per cent FDI (foreign direct investment) approved by FIPB on 3rd October. This follows the clearance given on 21 September by the cabinet committee for economic affairs, Ministry of Commerce and Industry, for the proposed investment.

Meanwhile, ASSL is reportedly in talks with a global satellite major for an alliance involving technical, commercial and operational cooperation and a minimum investment of 26 per cent in the company.

ASSL is raising funds for the project at a 1.5:1 (Rs 6900 million: Rs 4600 million) debt equity ratio. Chandra has committed to underwriting the Rs 4600 million if the amount cannot be raised through other sources, as well as expenditures already incurred.

As of now the lead financier for the project from India is the Industrial Development Bank of India (IDBI), which has sanctioned Rs 3,000 million. The Life Insurance Corporation (LIC) has cleared another Rs 750 million for the project.

With this latest infusion, ASSL expects to close debt financing of the project by end-October or early-November.

Alcatel is supplying the satellite which will be delivered 19 months after financial closure. The satellite, with a life-span of 14 years, has 24 ‘C’ band and 14 ‘ku’ band transponders. The promoters expect the project to be cash positive at the start of the second year of operations.

Latest Reads
ISRO gives nod to 27 satellites for future DTH, science demands

Indian Space Research Organisation (ISRO) has allowed three industries (two private and one government-run firm) to build 27 satellites in the next three years.

Satellites Satellite Operators
Launch of SES-12 to assist Digital India vision

The successful launch of SES-12, which provides coverage over Asia will assist the acceleration of the country’s push towards a digital India and financial inclusion initiatives, according to a leading satellite industry expert as per a report by the Press Trust of India from London.

Satellites Satellite Launches
MEASAT adds 3 channels from South Asia

MEASAT satellite systems, on 2 July, expanded its video region in South Asia with the distribution of News24, Sagarmatha TV and Prime TV. The satellite system is a premium supplier of communication and video services to leading broadcasters, direct-to-home (DTH) platforms and telecom operators.

Satellites Satellite Operators
MEASAT to display Next Generation Compression for UHD channels distribution

MEASAT Global Berhad (“MEASAT”) announced today a showcase in collaboration with NovelSat and V-Nova to demonstrate cutting-edge compression for Ultra High Definition (UHD) primary distribution over satellite.

Satellites Satellite Operators
24% Hong Kong viewers use TV boxes to stream pirated content: CASBAA

In a recent survey of the content viewing behaviour of Hong Kong consumers, released by CASBAA, the trade association for the video industry and ecosystem in Asia-Pacific

Satellites Satellite Operators
Did govt pressure nudge ABS-2 to shutter Indian TV channels on FTA DTH service?

NEW DELHI: ABS has closed the doors from 1 May 2018 on Indian TV channels that were using the ABS-2 satellite-beamed FTA Ku-band platform. Apparent reason: Indian government pressure on local TV channels to stop using the 'unlicenced' platform that discouraged payment of carriage fee to the...

Satellites Satellite Operators
ISRO’s Gsat-11 sent back from space centre ahead of May-end launch

NEW DELHI: In what was being touted as probably the last Indian satellite launch by a foreign space agency, ISRO’s heavy-duty GSAT-11 communications satellite has been sent back to India for “unexplained” reasons from the Europe-based launch pad, according to a media report from Paris.

Satellites Satellite Launches
ISRO launched 8 communication satellites over 4 years

NEW DELHI: Eight communication satellites were launched by India’s space agency ISRO over the last four years that carried transponders in various frequency bands of C, extended C, Ku, Ka and S for telecommunications, broadcast and mobile communication services. Navigation satellites were part of...

Satellites Satellite Launches
ISRO readies GSAT-6A satellite for launch

MUMBAI: Indian Space Research Organisation (ISRO) is set to launch its high-power GSAT-6A communications satellite onboard GSLV Mk-II (GSLV F08) on 29 March 2018. The government-funded organisation will use one of its rockets for the launch, from the Sriharikota island site in Andhra Pradesh...

Satellites Satellite Launches

Latest News

Load More

Sign up for our Newsletter

subscribe for latest stories