Inmarsat plc (LSE: ISAT.L) is acquiring Ship Equip International A.S. for a total consideration of $159.5 million. Based in Alesund, Norway, Ship Equip is a provider of VSAT maritime communications services to the shipping, offshore oil and gas and fishing markets.
Ship Equip is to be acquired by Inmarsat Solutions Limited and will operate as a separate subsidiary alongside its Stratos and Segovia businesses.
James Parm, President and CEO of Stratos, commented: "We are delighted to welcome Ship Equip and their management team into the Inmarsat group. Ship Equip is ideally positioned to support the evolution of certain segments of the maritime market to higher speed services - especially those to be offered by Inmarsat's revolutionary Global Xpress programafter its launch in 2013. Ship Equip is the perfect partner for Inmarsat, bringing a large installed base of maritime VSAT customers, who we expect to be in the forefront of the transition to Global Xpress services, and a management team with extensive knowledge of VSAT operations and customers, to help us ensure that Global Xpress is a compelling proposition for the maritime community. This acquisition demonstrates our clear determination to prepare the way for a fast and successful take up of Ka-band services via Inmarsat Global Xpress."
Ship Equip has an installed base of over 850 vessels and generated revenues of $56 million last year.
"We are excited to be joining forces with Inmarsat, and we are convinced the combination will be the perfect platform for reaching the next level in satellite broadband maritime services," said Ivar Nesset, CEO of Ship Equip.
March 31, 2011