NewSat buys New Skies division
NewSat and parent company Multiemedia moves up the VSAT food chain with the acquisition of New Skies Networks Australia and its media port facilities.
Publicly-listed Australian IT and communications company Multiemedia has signed an agreement to acquire buy New Skies Networks Australia Pty Ltd (NSN) from Netherlands-based satellite communications company New Skies Satellites B.V.
The new entity, known as NewSat Networks Pty Ltd will provide services in the Middle East, Africa and Europe through its Dubai based offices.
The acquisition will see Multiemedia take ownership of a substantial network of assets including two modern media port facilities. These media ports act as a gateway between the satellites and the earth to broadcast video, voice and data. The media port facilities allow NewSat Networks to act as a source of satellite bandwidth for VSAT service providers.
NewSat says the purchase comes with a very substantial backlog of contracted secure revenue over the next three years and will extend NewSat’s reach into the oil, gas, mining, broadcasting and government sectors. It will deliver immediate cash flow positive results for the company and its shareholders.
New Skies Networks achieved total revenues of US$17.3 million for the fiscal year ended 31 December 2004 and an after tax net profit of US$4 million.
This announcements follows NewSat’s recent launch of the iDirect platform to compliment it’s already successful ViaSat based business in the region.
Paul Seaton, general manager of NewSat Middle East and Africa says it will now be able to provide satellite coverage to 75% of the world’s population, up from 60%, including Europe, the Middle East, Africa and Asia.
Seaton says it will make NewSat one of the largest and most modern media port operators and satellite service providers. The company will now be in a position to provide an unparalleled level of services.
“The services offered by New Skies Networks are in direct synergy with our existing businesses, in particular our satellite delivery arm NewSat which is already proven to be one of the most advanced and fastest growing satellite communications companies in the Middle East and Africa,” says Adrian Ballintine, founder and CEO of Multiemedia.
“Politically, geographically and climatically Australia offers a safe environment to house media port facilities. “Satellite technology is the future of general communications, entertainment, education and health services particularly in regional and remote parts of the world where traditional cable copper fibre networks are not appropriate or available,” he explains.
NewSat and NewSat Networks will work alongside each other to service all segments of the satellite services market and provide customers with a high level of service.