South Korean conglomerate Hanwha Systems has offered to sell its entire 5.4% stake in Franco-British satellite operator Eutelsat for approximately €78 million, according to a bookrunner filing released on Wednesday.
As Eutelsat seeks investors to help fund the second generation of its low Earth orbit (LEO) OneWeb satellites and fulfill its commitments under the European Union’s IRIS² project, the company has drawn unprecedented attention from governments this year. Many are seeking alternatives to SpaceX’s Starlink for satellite internet connectivity.
Hanwha’s shares are being offered at €3.00 each, representing a 13.9% discount compared to Eutelsat’s closing price of €3.48 on Wednesday, according to a term sheet prepared by Citi, the bookrunner.
This also marks a 74% loss compared to Hanwha’s initial $300 million (€262.84 million) investment in OneWeb in 2021, with the stake now valued at $85 million. The transaction is expected to close on Thursday.
A Hanwha representative had also resigned from Eutelsat’s board of directors in April.
Hanwha, which became a OneWeb shareholder prior to its 2023 merger with Eutelsat, is also one of OneWeb’s distributors in South Korea under a 2023 agreement.
(Written by Gianluca Lo Nostro in Gdansk, French version by Etienne Breban, edited by Augustin Turpin)
