Fifty-seven per cent of satellite broadband supplier Hughes Communications is being put up for sale by private equity investor Apollo. Intelsat, Echostar and Inmarsat are each said to be looking at the stake and have expressed interest.
Maryland-based Hughes sells satellite capacity, including broadband, to the US government, large businesses and private consumers not well served by conventional terrestrial services. HughesNet is its main service which it operates from its Spaceway 3 Ka-band craft. Hughes has also bought capacity from London-based newcomer Avanti Communications on Avanti’s new Hylas-1 satellite.
Hughes has hired Barclays Capital to advise it on the potential transaction. A new round of bidding is expected in February.