Inmarsat valuation up in the air

13 June 2005 By Mike Verdin

At the top of the indicative price range, the satellite operator would come to the market at a premium to rival operators. True, Inmarsat has strong growth prospects. But it has historically failed to make the most of its opportunities.

This content is for Subscribers only

Context News

Inmarsat is to float in London in a move that could value the mobile satellite operator's equity at up to $2.1bn. Inmarsat shares are to float at between 215p and 245p. The price is due to be set on June 17.

The company hopes to raise $690m, which will be used to reduce debt from $1.5bn to between $860m and $900m.

At the top end of the indicated flotation range Inmarsat shares would trade on 9.6 times 2005 earnings. SES Global, a European satellite company, trade on 9.7 times and PanAmSat, which is based in Connecticut, on 8.9 times.

Email a friend

Please complete the form below.

Required fields *