Bharti Space invests $175 mn in Eutelsat’s fundraise

Bharti Space Ltd, the space venture of Bharti Enterprises Ltd, will invest €150 million (about $175 million) in Eutelsat as part of the European satellite company’s €1.5 billion fundraise, strengthening its commitment to the business even as its stake in the company slightly declines.

The fresh investment, announced Thursday, is part of a wider funding round that also includes the French government, the UK government, shipping company CMA CGM and French fund FSP.

The money will help Eutelsat pay down debt, expand its satellite network and stay competitive in the growing satellite internet market.

Bharti’s €150 million contribution includes €29.9 million in an initial reserved share sale and €120.1 million in a follow-on rights issue.

Once the fundraising is complete, expected by the end of 2025, Bharti’s stake in Eutelsat will drop from about 24% to just under 18%, making it the company’s second-largest shareholder after the French government.

Bharti Space is the satellite investment arm of Sunil Mittal’s Bharti Group, which also owns telecom giant Airtel.

Bharti first entered the satellite business in 2020, when it joined the UK government to rescue OneWeb, a low-earth orbit satellite company, from bankruptcy.

OneWeb merged with Eutelsat in 2023, creating a single company that operates both geostationary and low-earth orbit satellites.

Bharti has remained a major backer throughout this journey, as it looks to tap opportunities in satellite internet services in India and around the world.

After the fundraising, the French government will hold nearly 30% of Eutelsat, Bharti almost 18%, the UK government just under 11%, CMA CGM about 7.5% and FSP about 5%.

Eutelsat chief executive Jean‑François Fallacher welcomed the continued support from Bharti and the UK, calling it proof of how important space technology has become to both governments and businesses.

UK science secretary Peter Kyle said satellites play a vital role in the UK economy and security, adding that the UK’s investment shows its commitment to the industry.

Eutelsat operates a fleet of 34 geostationary satellites and over 600 low-earth orbit satellites. Its customers include television broadcasters, internet service providers, mobile networks and governments.

With the new funding, Eutelsat plans to grow its satellite network and strengthen its position in the fast-changing global space communications industry.

The investment positions Bharti to play a key role in India’s forthcoming satellite broadband market, where Eutelsat OneWeb is set to compete with SpaceX’s Starlink and Jio-SES once local regulatory approvals are in place.

Bharti chairman Sunil Mittal and his son, Shravin Mittal, continue to hold key board positions at Eutelsat.