SES completes acquisition of Intelsat, creates expanded satellite network

Published 17/07/2025, 06:42
SES completes acquisition of Intelsat, creates expanded satellite network

LUXEMBOURG - SES announced the completion of its acquisition of Intelsat, creating an expanded global satellite operator with a fleet of 120 satellites across multiple orbits. The transaction combines approximately 90 geostationary and nearly 30 medium earth orbit satellites, along with strategic access to low earth orbit satellites. SES shares currently trade at $7.46, with InvestingPro data showing recent positive price momentum.

The newly merged company will deliver multi-orbit, multi-band satellite solutions utilizing spectrum bands including C-, Ku-, Ka-, Military Ka-, X-band, and Ultra High Frequency. According to a company press release, the combined entity projects pro forma revenue of €3.7 billion with expected growth at a low- to mid-single digit compound annual growth rate from 2024 to 2028.

"Today, we’re not just merging two companies -- we’re creating a stronger company, built for the future," said Adel Al-Saleh, CEO of SES.

The company anticipates generating over €1 billion in adjusted free cash flow by 2027-2028, supported by a combined contract backlog exceeding €8 billion. SES plans to maintain capital expenditures averaging €600-€650 million annually from 2025-2028, excluding the IRIS2 program.

Through integration, SES expects to deliver synergies with a total net present value of €2.4 billion, representing an annual run rate of approximately €370 million, with 70% of these efficiencies anticipated within three years after closing. According to InvestingPro analysis, SES maintains a FAIR Financial Health Score of 2.33, suggesting stable operational fundamentals as it pursues these integration targets.

SES remains headquartered in Luxembourg and is publicly listed on the Paris and Luxembourg stock exchanges under the ticker SESG, while maintaining its North American main office in McLean, Virginia. For deeper insights into SES’s financial metrics and growth potential, including exclusive ProTips and detailed valuation analysis, explore InvestingPro’s comprehensive coverage of the company.

Guggenheim Securities acted as lead financial advisor to SES, with Morgan Stanley & Co. LLC serving as co-financial advisor. PJT Partners served as financial advisor to Intelsat.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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