Brief: SATS Ltd Announces Proposed Acquisition Of Worldwide Flight Services For Enterprise Value €2,250 Mln

Sats

28/09/2022 07:43

Sept 28 (Reuters) - SATS Ltd  SATS.SI :
    * PROPOSED ACQUISITION OF WORLDWIDE FLIGHT SERVICES
    * SATS WILL ACQUIRE ALL OF INTERESTS IN TARGET FOR AN
ENTERPRISE
VALUE OF EUR 2,250 MILLION
    * THIS TRANSLATES INTO A PURCHASE PRICE OF EQUITY OF EUR
1,187
MILLION
    * COMPLETION OF PROPOSED ACQUISITION IS EXPECTED TO TAKE
PLACE BY
END OF MARCH 2023
    * PROPOSED ACQUISITION IS EXPECTED TO RESULT IN AN INCREASE
IN
REVENUE FROM S$1.2 BILLION TO S$3.8 BILLION
    * DEAL WILL DELIVER IMMEDIATE EARNINGS ACCRETION AND
MEANINGFUL
EBITDA SYNERGIES IN EXCESS OF S$100 MILLION OVER MEDIUM TERM
    * PROPOSED ACQUISITION IS EXPECTED TO RESULT IN INCREASE IN
EBITDA
FROM S$94 MILLION TO S$445 MILLION ON A PRO FORMA BASIS
    * EXPECT PRO FORMA REVENUE CONTRIBUTION TO BE SPREAD ACROSS
ALL
REGIONS GLOBALLY WITH ASIA, EMEA AND NORTH AMERICA OF FY2025
    * INTENDS TO FINANCE PROPOSED ACQUISITION WITH PROCEEDS FROM
AN
EQUITY FUND RAISING
    * BASE FUNDING PLAN ENTAILS A S$1.7 BILLION EQUITY FUND
RAISING
    * ALSO OBTAINED ACQUISITION BRIDGE FACILITY FOR A SGD
EQUIVALENT
OF UP TO €1,200 MILLION

Source text for Eikon:  ID:nSNbWMQ3K 
Further company coverage:  SATS.SI   LBOFRW.UL 
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