SES rises on Appaloosa letter about announced board changes

SES SA

17/03/2025 09:41

** Shares in SES SESFd.PA rise 4.8% after its shareholder, U.S. hedge fund Appaloosa LP, published a letter in response to the European satellite group's board changes

** Bernstein analyst Aleksander Peterc says Monday's share move is likely related to the letter

** Appaloosa, which manages funds holding more than 7% of SES, says the steps SES board is taking to modernize its structure are "long-overdue" and adding a director with capital markets experience should be a priority for the group

** In a note, Peterc says geopolitical shifts have significantly impacted Bernstein's valuation of SES and Eutelsat ETL.PA

** "The new landscape repositions Eutelsat and SES as vital components of sovereign defence infrastructure, free from U.S. control and influence," the broker says

** Eutelsat's shares are up 7.3% as of 0922 GMT

** "In addition, SES continues to be supported by positive newsflow of further C-band spectrum sale, and both SES and Eutelsat are continuing to price in the seismic geopolitical change that makes suddenly Starlink the operator to avoid for European governments," Peterc adds

** The SES stock has gained nearly 90% YTD

 (Reporting by Dimitri Rhodes)

 ((Dimitri.rhodes@thomsonreuters.com))