23rd Jul 2019 08:36
(Alliance News) - The UK government is to review Inmarsat PLC's takeover by a private equity group on the grounds of national security, it said Monday.
Satellite firm Inmarsat in March agreed a USD3.4 billion takeover by a consortium led by private equity firm Apax Partners LLP. Other parties include Warburg Pincus International LLC, the Ontario Teachers' Pension Plan Board, and the Canada Pension Plan Investment Board.
The UK Competition & Markets Authority has already, last week, said it will be looking into whether the proposed deal would create competition concerns.
However, on Monday the UK Secretary of State for Culture, Media, & Sport issued a public interest intervention order. The Secretary has the power to intervene on national security grounds.
The CMA has until September 17 to present a report to the government, which will include any concerns over both national security or competition.
Inmarsat shares were 1.4% lower on Tuesday morning in London at 554.60 pence each.
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