Enhancing client connections

Eversheds Sutherland advises Eutelsat Communications on its $550m investment in OneWeb

Eversheds Sutherland has advised Eutelsat Communications (Eutelsat), one of the world's leading satellite operators, on its agreement with OneWeb for the subscription of a c.24% equity stake, becoming a leading shareholder of the company alongside the UK Government and Bharti Global.

Eutelsat will invest $550m in OneWeb, a global communications network powered from space, with closing expected in H2 2021 subject to regulatory authorisations.

With much of its global network already deployed, the OneWeb constellation will operate 648 satellites in low orbit (LEO) offering latency of less than 100 ms. This first generation of satellites will offer significant Regional coverage by the end of 2021, reaching fully Global coverage the following year.

Eutelsat’s investment will come with significant governance rights, including board representation, where its position and expertise as one of the world’s leading satellite operators will help to drive the success of the new constellation.

A global Eversheds Sutherland team advised Eutelsat on all corporate and international competition aspects of its investment. The team was led from London by corporate Partner Simon Masters and competition Partner Kate Newman, assisted by Legal Director James Vernon (corporate), Principal Associate Claire Morgan (competition) and Associate James Finney (corporate).

Simon Masters, Eversheds Sutherland, said:

“We’re delighted to have been able to support our valued client Eutelsat on this truly exciting project for them. We look forward to continuing to work with the Eutelsat team through to closing of the project and on future opportunities.”

This is the second deal in the last eight months on which Eversheds Sutherland has advised Eutelsat, having also advised on its acquisition of the European satellite broadband business of Bigblu Broadband PLC, a satellite telecommunications service provider.