Eutelsat Communications has agreed to sell its 51 percent stake in Euro Broadband Infrastructure (EBI), the company operating the KA SAT satellite, and related European broadband business to Viasat, its 49 percent shareholder, for an initial consideration of €140 million.

The transaction completes the reorganization and simplification of Eutelsat’s broadband distribution in Europe following the acquisition of Bigblu Broadband Europe, while moving towards an open technology and freeing up financial resources for investment in direct distribution.

Rodolphe Belmer, chief executive officer of Eutelsat said: “It completes the reorganization of broadband distribution set-up for Europe following the wholesale agreement with Orange for France and the acquisition of Bigblu Broadband Europe covering other major markets.”

“With the recent entry into service of EUTELSAT KONNECT, to be followed by the launch of KONNECT VHTS, we are optimally placed to assure the rapid ramp-up of these new generation in-orbit assets in the coming years,” Rodolphe Belmer said.

Eutelsat and its subsidiaries will continue to provide transitional services to EBI, including the operation of the ground network for KA SAT, while EBI will provide service continuity to the KA SAT subscriber base of Bigblu Broadband Europe acquired by Eutelsat in September 2020.