The Secretary of State for Business, Energy and Industrial Strategy (BEIS) has announced that the transaction does not pose a risk to the UK’s national security. It also confirms that the new entity will continue to deliver strategic capabilities to the UK government.
The approval is one of several critical steps in the planned merger. Within the UK the Competition and Markets Authority must still approve the deal. The CMA could also decide that the transaction requires a deeper investigation. The latter path would likely extend the timeline for the deal beyond what the companies have targeted.
Speaking to the approval, Viasat CEO Mark Dankberg notes, “The UK Government’s clearance of Viasat’s proposed acquisition of Inmarsat under the National Security and Investment Act is another important step forward on the road to closing the deal, and we would like to thank the UK Government for their close collaboration throughout the process.”
Rajeev Suri, Inmarsat CEO, added, “Inmarsat is proud of our decades of close work with the UK government. Today’s approval brings us closer to delivering the new jobs and investment to the UK that have been committed by both Inmarsat and Viasat. Together, we will be well-positioned to compete in a robust market that has both well-funded new entrants and other industry players in the process of consolidating.”
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