Intelsat to be acquired by SES for $3.1B

McLean-based satellite services provider Intelsat announced Tuesday that it has made a deal to be acquired by SES, a Luxembourg-based competitor, for $3.1 billion in cash. 

The deal is expected to close during the second half of 2025, depending on regulatory clearances and other factors, according to a news release. 

Intelsat CEO David Wajsgras will stay on at Intelsat until the close of the transaction “He does not plan to remain with the combined company,” Clay McConnell, a spokesperson for Intelsat, said in an email. 

The combined SES will be headquartered in Luxembourg, but will have a “significant presence” in the U.S., according to the release. In March, SES held a ribbon-cutting ceremony for their new U.S. technology and operations hub facility in Prince William County. 

Intelsat and SES previously discussed a merger, but talks fell apart in June 2023.

Once the companies combine, SES will offer a fleet of more than 100 Geostationary Earth Orbit (GEO) and 26 Medium Earth Orbit (MEO) satellites. Previously, SES had boasted a global fleet of more than 70 GEO and MEO satellites. 

The additional satellites will allow SES to provide enhanced coverage, greater network resiliency and improved service delivery, according to the release. 

Wajsgras joined Intelsat as CEO in April 2022 soon after the satellite operator’s emergence from Chapter 11 bankruptcy and financial restructuring.

In March, Intelsat announced it had committed to secure low-Earth orbit service for six years for $250 million from Paris-based Eutelsat Group’s OneWeb low-Earth orbit (LEO) constellation service, with an option for another $250 million.

“Over the past two years, the Intelsat team has executed a remarkable strategic reset,” Wajsgras said in a statement. “We have reversed a 10-year negative trend to return to growth, established a new and game-changing technology roadmap and focused on productivity and execution to deliver competitive capabilities.”