Pressure on the management at the UK satellite business Inmarsat eased last week after two potential bidders, one from the US and one from France, both decided not to proceed. Inmarsat is a major player in the yacht market providing a range of communication and other services to the sector.
The US company, EchoStar, having made a second attempt to buy Inmarsat with a £3.2bn offering announced it was withdrawing after the bid was rejected. The company issued a statement late last week in which it indicated that it would not proceed with further efforts to acquire Inmarsat. This followed the rejection by the Inmarsat management of the American company’s 532 pence per share offer for the entire issued and to-be-issued share capital of Inmarsat.
This news followed the earlier withdrawal of the French company Euteslat which ruled out making a bid for Inmarsat.
The market which has expected a number of possible bids for the UK satellite business is now more cautious as to whether any other offers will be forthcoming. With its involvement with the UK government there are concerns that if a bid looked like succeeding the UK government might intervene on the based of national security issues.