27th Oct 2008 07:00
Date: 27 October 2008
On behalf of: Avanti Communications Group plc ("Avanti" or "the Company")
Embargoed until: 0700hrs
Avanti Communications Group plc
Contract Win
Avanti Communications Group plc (AIM: AVN), the broadband satellite operator, announces it has signed a contract to supply wholesale broadband services to Micromagic Ltd of Ireland. As a wholesaler (the entry level of contract for Avanti's services), Micromagic has made a minimum order commitment of €100,000. Wholesale contracts represent a lower level of committed revenue than VNOs, but with a price equivalent to over £2,000 per MHz per month, are more profitable and therefore form a useful aspect of Avanti's portfolio.
David Williams, Chief Executive of Avanti, said:
"We are very pleased with our accelerating momentum in signing distribution partners, which gives us confidence in meeting our pre-sales objectives. We now have 24 distribution partners in 10 countries in Europe with levels of commitment ranging from €100,000 to £9 million. The results of our recent tour of marketing launch parties at British embassies has been strong, we expect to see significant new contract flow soon as a result. The pace of European commission funded rural broadband projects is also encouraging, with several large contract decisions pending."
Enquiries to:
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Avanti Communications Group plc |
http://www.avanti-communications.com/ |
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David Williams |
020 7749 1600 |
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Redleaf Communications Ltd |
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Emma Kane/ Samantha Robbins/ Rebecca Sanders-Hewett/ Anna Dunkin |
020 7822 0200 |
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Cenkos Securities |
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Ivonne Cantu / Julian Morse |
020 7678 8000 |
Notes to Editors:
About Avanti Communications
Avanti Communications Group plc is the only licensed Fixed Satellite Services operator headquartered in the UK (and one of only eight such groups operating in Europe);
Avanti sell satellite broadband services to wholesale customers targeting consumer, enterprise and institutional markets.
Avanti's first satellite, called Hylas is under construction and due for launch in 2009; the company plans further satellite projects
Avanti, which has more than 10 years' experience in the satellite industry, currently provides satellite broadband services to customers in Europe using leased satellite capacity which it will transfer to Hylas on launch
No further funding is required for the Hylas project following successful completion of a long term debt facility in July 2007.
The European Commission has set aside funding for rural broadband projects in 79 regions across Europe with a total value of €1.8 billion over the next five years.
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