© Reuters. INMARSAT REJECTS The OFFER Of ECHOSTAR, THE JUDGE is TOO LOW
LONDON (Reuters) – The british operator of satellites, Inmarsat said Friday it has rejected a proposed buyout of the u.s. company EchoStar, because that would be far too low.
Inmarsat made the announcement following speculation in the Stock market who have powered its shares to a peak of three months. The action has finished up 13.48 per cent, bringing its market capitalization to $ 2.2 billion pounds (2.5 billion euros).
“After having thoroughly reviewed the proposal with its advisors, the board of directors has rejected the proposal on the grounds that it underestimates very significantly Inmarsat, and because of its prospects as an independent company,” said the company in a press release issued after the market closes.
The group has specified that the approach of EchoStar was at an early stage and non-binding, and that there was no certainty that a firm offer would be made.
The offer was on all of Inmarsat.
Satellite operators in Europe have progressed throughout the session on Friday, ITS Global (PA:SESFd) (+4,42%) and Eutelsat (+3,59%), having benefited from a recovery of a recommendation by UBS, the purchase on the two titles, and the green light from the Federal Communications Commission (FCC) in the u.s. to the expansion of the fleet of HIS.
(Alistair Smout, Helen Reid and Siju Varghese, Paul Sandle, Juliette Rouillon for the French service)