Shocking deal: EQT to seize control of Eutelsat’s satellite ground station infrastructure in massive €790m transaction

In a pivotal move for the satellite sector, EQT Infrastructure VI fund is in exclusive negotiations to acquire an 80% stake in Eutelsat Group’s Satellite Ground Station Infrastructure Business, valuing the new entity at EUR 790 million. Eutelsat Group will retain a 20% share and continue as a long-term partner and anchor tenant.

EQT Infrastructure’s Strategic Acquisition

EQT Infrastructure VI, managed by EQT, is on the verge of becoming the majority owner of Eutelsat Group’s Satellite Ground Station Infrastructure Business. The transaction will see EQT holding 80% of the new entity’s equity, while Eutelsat Group retains a 20% stake and remains committed as a long-term stakeholder.

The Satellite Ground Station Infrastructure Business operates a global network of approximately 1,400 antennas across more than 100 locations. These facilities are crucial for satellite data transmission, bridging the communication gap between Earth and orbiting satellites. They support critical global telecommunications, particularly in underserved regions where traditional fixed and mobile networks are unavailable.

Growth Opportunities and Sector Dynamics

The satellite industry is currently experiencing significant transformation. The well-established Geostationary Earth Orbit (GEO) segment provides a solid foundation, but the emerging Low Earth Orbit (LEO) constellations and new satellite technologies are set to drive substantial growth. The reduction in launch costs and the development of new connectivity applications are expected to fuel increased demand for ground station infrastructure.

The acquisition will involve carving out passive assets including land, buildings, antennas, and connectivity circuits to form a new standalone company. This new entity, headquartered in France, will be rebranded following the transaction. The Ground Station Business benefits from a resilient financial profile and a prominent position in the satellite value chain due to its high-quality global asset base.

EQT’s Commitment to Satellite Infrastructure

EQT’s strategy focuses on enhancing the Ground Station Business’s position as a leading independent player in the satellite ground station market. This involves continued investments in upgrading existing infrastructure and expanding with new sites, especially for LEO antennas. Additionally, EQT aims to pursue inorganic growth opportunities through mergers and acquisitions in the fragmented global ground station market.

Carl Sjölund, Partner at EQT’s Value-Add Infrastructure advisory team, highlighted the strategic importance of satellite ground stations. He noted their critical role in ensuring global connectivity, particularly in regions lacking fixed and mobile infrastructure. Sjölund expressed excitement about partnering with Eutelsat Group to capitalise on growth opportunities driven by technological advancements.

Eutelsat Group’s Vision

Eva Berneke, Chief Executive Officer of Eutelsat Group, praised the transaction as a significant step forward for the satellite industry. She emphasised that the deal would allow Eutelsat to optimise its extensive ground network and strengthen its financial position. Berneke described EQT as a high-quality partner that shares Eutelsat’s vision, and she anticipated that the collaboration would enable the new company to fully embrace emerging opportunities in the dynamic satellite sector.

Regulatory and Financial Considerations

The transaction is subject to customary regulatory approvals and consultations with French security authorities and employee representative bodies. It is anticipated to close in Q1 FY26. EQT has enlisted Rothschild for M&A advisory, BCG for commercial and carve-out support, A&O Shearman and Paul Weiss for legal counsel, KPMG for financial and tax advisory, and NovaSpace for technical guidance.

Following this acquisition, EQT Infrastructure VI is expected to be 45-50% invested, reflecting its focus on expanding its infrastructure portfolio. The Ground Station Business’s extensive global network supports diverse satellite applications, including connectivity and broadcasting, and is well-positioned to capitalise on future industry developments.