Measat sale talks stalling?
March 7, 2012
Two days ago we were reporting that talks were progressing well on the sale of Malaysia-based Measat, and that Arabsat as well as Eutelsat (and others) were lining up to bid for the satellite assets. Measat handles around 400 TV and 160 radio channels as well as DTH platforms and beams its signals to more than 145 countries.
Now, local reports suggest, the talks are on hold. Investment bankers Morgan Stanley is said to be advising Measat on their options which include an outright sale, or a merger. A price of $500 million has been mentioned.
Specifically Arabsat, the front-runner to date, is said to have paused in its bilateral discussions with Measat. Bankers JP Morgan is advising Arabsat on its options. Eutelsat is still reportedly interested, but it is difficult to see Eutelsat wanting anything other than an outright purchase, or possibly a limited-time joint-venture.
Gossip also surrounds the options for the world’s two broadcasting giants, SES and Intelsat, both of which could make a good fit for Measat’s assets.
While Measat’s orbiting satellites represent the primary asset value up for sale, it is also holding assorted orbital transmission slots which would be of considerable value to a buyer looking to expand over the Asian region.