LeoSat’s Chief Commercial Officer, Ronald van der Bregg, has stepped down from the company with immediate effect.
LeoSat is widely reported to be having problems closing on a $50 million financing round. On September 30th it was reported that neither Hispasat or SkyPerfect – its existing major investors – wish to expand their existing investments, and industry reports say that CEO Mark Rigolle is trimming LeoSat’s overall budget demands to nearer $3 billion from $3.5 billion.
LeoSat has only until January 2021 to “bring into use” frequencies allocated to it by the International Telecommunications Union (ITU). ITU rules state that if frequencies are not activated then their company’s rights to those frequencies lapse.
LeoSat wanted to speedily-build its satellite fleet and to be launched to secure those ITU frequencies, but reportedly is now looking to scale back its ideal plans including smaller – and less expensive – satellites that would also be cheaper to launch into orbit.
Rigolle says that LeoSat has firm Letters of Intent worth $2 billion in long–term contracts to utilise its service.