Space Business Review December 2006 Space Smart
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Milbank Space Business Review December 2006 Space Smart - SPECIAL EDITION: THE TOP-10 SPACE BUSINESS STORIES OF 2006 - #1-M&A and JVs Redefine FSS Industry #5- Satellite Radio Interest Continues Blockbuster merger and acquisition activity in 2006 XM Satellite Radio and SIRIUS Satellite Radio transforms the Fixed Satellite Services landscape. SES respectively approached 8 million and 6 million subscriber Global acquires New Skies Satellites (March). Thales marks and together attracted approximately 5 million net Group announces purchase of Alcatel’s interests in additions in 2006. WorldSpace faces growth challenges Alcatel Alenia Space and Telespazio (April). SES Astra and ONDAS Media signs up development partners for picks up ND Satcom (May). Intelsat completes its service in Europe. acquisition of PanAmSat (June). SES Global and #6-Remote Sensing Industry Matures Eutelsat collaborate to provide S-band multimedia Orbimage Holdings Inc. completes its acquisition of broadcasting services (October). Abertis and Caisse des Space Imaging LLC’s assets, re-brands as GeoEye and Dépôts et consignations purchase 32% and 25.5% lists on NASDAQ. DigitalGlobe orders the WorldView stakes, respectively, in Eutelsat Communications for II high resolution satellite capable of sub ½ meter €1.07 billion and €862.7 million, marking the exit of resolution panchromatic images, and ImageSat Eutelsat’s private equity owners. Loral Space & International N.V. completes $85 million recapitalization Communications Inc. and Canadian Public Sector and launches its EROS B satellite with standard 0.7 meter Pension Investment Board ink a $2.8 billion deal to panchromatic resolution. Google Earth and Google purchase Telesat Canada (December). Liberty Media Maps become household names and Microsoft joins the Corp. picks up News Corp.’s 38.5% stake in DirecTV fray with launch of its Virtual Earth mapping application. Group, Inc. (December). #7-Galileo Marches On, Slowly #2-Satellite Manufacturers Flush Galileo Industries GmbH executes €950 million contract 23 commercial satellite orders announced in 2006. for development and construction of the first four Alcatel Alenia Space: Turksat 3A, Ciel-2, W2A and W7. satellites (in-orbit validation phase) of the Galileo Boeing Satellite Development Center: MSV-1, -2 and - navigation system, however the GIOVE-B satellite is 3. EADS Astrium: Nimiq 4, W2M (in cooperation with delayed and debate continues in Europe as to where the ISRO), HOTBIRD 9, HYLAS (in cooperation with ISRO), governmental body overseeing Galileo will be located. BADR-6, HOTBIRD 10 and ASTRA 3B. Lockheed Martin Commercial Space Systems: VINASAT-1. Mitsubishi #8-Satellite Broadband Electric Corporation: Superbird-7. Orbital Sciences WildBlue Communications Inc. launched its dedicated Corporation: AMC -21 (in cooperation with Alcatel Alenia Ka-band WildBlue-1 satellite in December and signed Space) and NSS-9. Space Systems/Loral: Telstar 11N, over 100,000 customers in the US. iPStar is quickly AsiaSat 5, SIRIUS FM-5 and ProtoStar-1. Surrey ramping up subscribers and in December launched Technology Ltd.: NIGERIASAT-2. nationwide service in China. Hughes Network Systems, #3-MSS Sector Shows Resilience LLC and Avanti Communications Group plc are developing systems in North America and Europe. Will The Mobile Satellite Services industry continued to satellite broadband finally take off? demonstrate traction and growth as Orbcomm Inc. and Globalstar Inc. secured debt and equity financing #9-Space Tourism Closer to Reality facilities and completed IPOs. TerreStar, MSV and ICO X-Prize sponsor Anousheh Ansari completes an eight- moved forward with their planned hybrid space day International Space Station visit as part of the segment/ATC enabled systems while Inmarsat launched Expedition 14 crew (fourth paying and first female its broadband BGAN service world-wide and inked a customer to visit space). Virgin Galactic’s five comprehensive collaboration deal with ACeS. Apax SpaceShipTwo spaceliners, under construction by Partners France acquired Telenor Satellite Services. Scaled Composites, are scheduled to begin customer flights in 2009. For $200,000 or 2 million Virgin Atlantic #4-Launch Services Sector Developments frequent flier miles, you can sign-up for a 2.5 hour flight In 2006 Lockheed Martin sells its interest in ILS and reaching an altitude of approximately 68 miles. price inflation in Russia impacts the industry. However 22 commercial satellites are launched. Ariane: HOTBIRD 7A, #10-Satmex Emerges, ProtoStar Rises Satmex 6, Thaicom 5, JCSAT-10, DIRECTV 9S, OPTUS D1, Satmex completes its restructuring process, successfully WildBlue-1 and AMC -18. Atlas: ASTRA 1KR. Long launches Satmex 6, emerges from Chapter 11 March: Sinosat-2. Proton: Arabsat-4A, KazSat-1, bankruptcy and is considering strategic and financing HOTBIRD 8, BADR-4 and MEASAT-3. Rockot: Kompsat-2 options. ProtoStar Ltd. raises $250 million to finance the (Arirang-2). Sea Launch: EchoStar X, JCSAT-9, Galaxy purchase and launch of the former ChinaSat 8 satellite as 16, Koreasat 5 and XM-4. Start-1: EROS B. it implements plans to serve DTH markets in Asia. THE MILBANK SPACE BUSINESS GROUP WISHES YOU A PROSPEROUS 2007 The information contained herein is provided for informational purposes only and should not be construed as legal advice on any subject matter. Recipients of this publication should not take or refrain from taking any action based upon content included herein. If you do not wish to receive this newsletter, please send an e-mail to [email protected] with the word “unsubscribe” in the subject line. © 2006 - Milbank, Tweed, Hadley & McCloy LLP .