Text size [+][-] Monday September 8 2008GLOBAL EDITION
Home > Harbinger/Inmarsat
By Una Galani
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Activist hedge fund Harbinger on Friday announced its intention to bid for Inmarsat and to combine the global UK-based satellite group - which has a market capitalisation of £2.1bn - with its SkyTerra business, pending US regulatory approval. Harbinger, which owns equivalent to 28.9% in Inmarsat and 48% of US satellite start-up SkyTerra, said it could take up to 18months to clear the necessary regulatory hurdles. Earlier this week, Harbinger and Inmarsat suspended discussion in relation to a possible offer. In light of the lengthy regulatory process, the UK takeover panel has ruled that Inmarsat will not remain in an offer period for the duration. Inmarsat’s board said it remained “highly confident” of the company’s standalone prospects, but that it would maintain a constructive relationship with Harbinger throughout the regulatory review and carefully consider any offer. Inmarsat shares traded up 3% following Harbinger’s announcement.