European Broadband JV Acquisition Completed by Viasat

Viasat has completed the acquisition of a European broadband JV (Joint Venture) with the purchase of Euro Broadband Infrastructure Sàrl ("EBI"), the wholesale broadband services business created as part of Viasat's former partnering arrangement with Eutelsat Communications.

"With the EBI purchase now complete, we can more aggressively move forward with growing our European broadband business and introduce new service offerings—before the launch of our ViaSat-3 EMEA satellite."

Rick Baldridge, Viasat's president and chief executive officer.

By purchasing the remaining 51% share of EBI from Eutelsat, Viasat gained 100% ownership of the KA-SAT satellite and related ground infrastructure, which provides satellite coverage over Europe and the Mediterranean region. With complete ownership of these assets, Viasat can continue to diversify its business portfolio in Europe, while establishing operations, distribution and sales for its growing retail, enterprise, mobility and government businesses—ahead of its Europe, Middle East and Africa (EMEA)-focused ViaSat-3 satellite.

"With the EBI purchase now complete, we can more aggressively move forward with growing our European broadband business and introduce new service offerings—before the launch of our ViaSat-3 EMEA satellite," said Rick Baldridge, Viasat's president and chief executive officer. "This deal provides a foundation for growth and an investment in the European region in addition to Africa and the Middle East. We can now set in motion our multi-tiered partner and distribution strategy, while trialing new 'ViaSat-3 like' home internet plans and new mobility offerings that best consider the needs and requirements of the local market dynamics as well as consumer and enterprise appetites for broadband."

EBI provides fixed and mobile broadband services on a wholesale basis in the European and Mediterranean markets. In the initial European Broadband JV partnering arrangement, Eutelsat contributed its existing European broadband operations to the wholesale business, including ownership of the KA-SAT satellite and related ground infrastructure.

The wholesale business adds to Viasat's established retail broadband services business in Europe where Viasat is offering enhanced home internet service in select European countries, including Spain, Norway and Poland. The Company also maintains a strong mobility presence, providing high-speed, high-quality in-flight connectivity (IFC) to seven European airlines as well as international airlines that fly into Europe. These initiatives provide a foundation for growth in the retail and mobility services sectors ahead of the launch of the ViaSat-3 global constellation. The second ViaSat-3 class satellite in that constellation will cover Europe, Middle East and Africa (EMEA), and is targeted for launch in 2022.

The transaction was initially announced on November 19, 2020.

(Source: Viasat news release)