Satellite industry concentration, part 2
Intelsat, which was making noise about buying rival New Skies Satellite Holdings has reversed course and agreed to buy instead PanAmSat, an even bigger rival The deal, for $3.2 billion, is over two-and-a-half times what the New Skies deal was, and will make Intelsat the #1 satellite company, pushing it ahead of rival SES. The new company will have a total of 53 satellites.
The big winners are equity groups KKR, The Carlyle Group, and Providence Equity Group, which jointly bought the company a year ago. The Wall Street Journal reports that the four companies, who already sold off over 40% of the company and have taken major dividend, are walking away in the end with over $2 billion. Here's another case of an equity firm acting as an industry catalyst, and at a significant profit.
10:12:09 PM 
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