France has provided significant backing to Eutelsat with a $1.56 billion investment aimed at debt refinancing and advancing its low Earth orbit satellite capabilities.
Investment and France's Stake in Eutelsat
France has committed to investing $1.56 billion in Eutelsat, making it the largest shareholder with a 29.99% stake. This investment is focused on debt refinancing and enhancing the company's existing low Earth orbit (LEO) satellite capabilities. The funding will be raised in two parts.
Stock Surge and Year-to-Date Performance
Eutelsat's shares surged by 29% at one point, reaching 3.650 euros in trading. The company's stocks are currently up 69% year-to-date. It has experienced significant volatility, particularly in March, with expectations for its role in replacing Starlink in Ukraine.
Future of Eutelsat in Satellite Technology
Eutelsat plans to invest up to 2.2 billion euros for 440 satellites necessary to sustain the OneWeb constellation in the future. Expected launches of these satellites are set for late 2026. Projections suggest Eutelsat could achieve $2 billion in annual sales by 2027. The French Finance Minister emphasized the strategic importance of these investments for ensuring industrial and digital sovereignty.
France's investment in Eutelsat highlights the country's commitment to strengthening its position in satellite technology and communication independence amidst growing competition.
