(1 day, 10 hours ago)
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The Secretary of State for Science, Innovation and Technology (Peter Kyle)
The Government will be joining Eutelsat Group’s capital increase today with a UK investment of €163 million.
Eutelsat announced the €1.35 billion capital increase, led by the French state and other existing shareholders, on 19 June 2025. The Government have announced their participation in the capital increase, taking it to a total of €1.5 billion, as part of the UK-France summit.
Satellite connectivity is strategically important to the UK. The investment in Eutelsat is a demonstration of our commitment to this important low Earth orbit technology, alongside commitments from the French Government and other existing shareholders.
The Government’s objectives for this investment are threefold. First, there are strategic security and resilience benefits to a competitive low Earth orbit market for satellite communications. Secondly, there is an opportunity for a company, with key technology developed and delivered from the UK, to be successful in future and support the growth of the UK space sector. Since HM Government made their earlier investment in 2020, the global satellite communications market has evolved, and the importance of resilient space capabilities and services has grown. Thirdly, this investment will establish a closer security and defence collaboration between the UK and France. Based on these objectives, the investment is value for money.
This investment means that the UK will retain its 10.89% shareholding in Eutelsat Group and it will support the company to extend its ambitious low Earth orbit services into the future. The UK retains its rights negotiated in 2023 as part of the merger between OneWeb and Eutelsat to form Eutelsat Group, and the company has made commitments to provide certain benefits to the UK including opportunities for university students, guaranteeing a number of jobs and providing Government with priority access to services in certain contracts.
The Government will continue working closely with Eutelsat Group, and the French Government, to ensure the company’s commercial success as part of a strong UK space sector.
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