EchoStar has bid an “implied” £5.32 (€6.01) per share for London-based Inmarsat worth in total some $3.2 billion. Denver-based EchoStar quietly made the improved bid on July 3rd ahead of the July 4th holiday in the US.
Under the terms of the improved proposal, Inmarsat shareholders would be entitled to receive £2.65 in cash and 0.0777 new shares of EchoStar’s class A common stock for each Inmarsat share. The improved proposal implies an equivalent value of £5.32 pence per Inmarsat share, valuing Inmarsat’s existing issued share capital at approximately £2.45 billion. The improved proposal would represent in aggregate, a value of approximately £3.2 billion for the issued and to be issued share capital of Inmarsat and its Convertible Bonds.
Inmarsat has again rejected the bid. EchoStar says it wants to discuss engagement with the Board of Inmarsat on a “constructive” basis.
EchoStar added that it would be willing to proceed with its proposal if Inmarsat extended the bid’s deadline, of today, July 6th and with the recommendation of the Inmarsat board of directors.