5th Mar 2009 11:00
HARBINGER CAPITAL PARTNERS FUNDS
UPDATE ON U.S. FEDERAL COMMUNICATIONS COMMISSION REGULATORY PROCESS RELATING TO THE PROPOSED OFFER FOR INMARSAT PLC
5 March 2009
NOT FOR RELEASE, PUBLICATION OR DISTRIBUTION IN WHOLE OR IN PART IN, INTO OR FROM ANY JURISDICTION WHERE TO DO SO WOULD CONSTITUTE A VIOLATION OF THE RELEVANT LAWS IN THAT JURISDICTION
On 25 July 2008, the board of SkyTerra Communications, Inc. ("SkyTerra") and the management of Harbinger Capital Partners Funds ("Harbinger", together with SkyTerra, the "Potential Offeror") announced their intention to make an offer to acquire the entire issued and to be issued share capital of Inmarsat plc ("Inmarsat") not already held by the Potential Offeror on terms to be announced following a satisfactory outcome to the regulatory approval process. This regulatory approval process included: (i) approval from the U.S. Federal Communications Commission ("FCC") for the transfer of control of the FCC licences held by subsidiaries of Inmarsat ("Inmarsat Change of Control Application"); (ii) FCC approval for the transfer of control of the FCC licences held by SkyTerra Subsidiary LLC, an indirect subsidiary of SkyTerra; and (iii) approval under the FCC's foreign ownership limits for Harbinger to own up to 100% of SkyTerra ((ii) and (iii) together, the "SkyTerra Change of Control Application").
In order to accelerate the regulatory process for obtaining FCC approval for the SkyTerra Change of Control Application, Harbinger has today submitted a request to the FCC that the SkyTerra Change of Control Application be processed separately from the Inmarsat Change of Control Application.
Harbinger does not expect there to be any material change to the timetable for obtaining the Inmarsat Change of Control Application as a result of such separate processing. The approval process for the Inmarsat Change of Control Application is ongoing, and Harbinger's expectation remains, as stated in the 25 July 2008 announcement, that approval is likely to take approximately 12-18 months from the date of that announcement.
Harbinger's intention remains, as set out in the announcement dated 25 July 2008, to make an offer to acquire the entire issued and to be issued share capital of Inmarsat not already held by the Potential Offeror on terms to be announced following a satisfactory outcome to the regulatory approval process.
This announcement does not constitute, and the announcement dated 25 July 2008 did not constitute, an announcement of a firm intention to make an offer under Rule 2.5 of the City Code on Takeovers and Mergers, and therefore there can be no certainty that any offer will be made, even if all of the regulatory approvals are obtained on terms satisfactory to the Potential Offeror, or that if an offer were made for Inmarsat that it would be successful.
GENERAL
For further information, please contact:
Merrill Lynch International Tel: +44 (0)207 628 1000 Richard Taylor Philip Noblet
Tulchan Communications Tel: +44 (0)207 353 4200 Andrew Grant Andrew Honnor
Merrill Lynch International is acting only for Harbinger and no-one else in connection with the proposed offer for Inmarsat and will not regard any other person as its client or be responsible to any person other than Harbinger for providing the protections afforded to clients of Merrill Lynch International nor for giving advice in relation to the proposed offer for Inmarsat.
Statement under the U.S. Private Securities Litigation Reform Act of 1995
This announcement may contain forward-looking statements within the meaning of the U.S. Private Securities Litigation Reform Act of 1995, with respect to plans described in this news release. Such statements generally include words such as could, can, anticipate, believe, expect, seek, pursue, proposed, potential and similar words. Such forward-looking statements are subject to uncertainties relating to the receipt of regulatory and competition approvals and the cooperation and support of Inmarsat with respect to the proposed offer. Harbinger assumes no obligation to update or supplement such forward-looking statements.
Related Shares:
Inmarsat