Yahsat Means Billions
First, Dubai rises from the desert seemingly overnight to become a first-class economic center. Haliburton’s CEO is moving his office there. It’s becoming a major airline hub. It’s building huge, jaw-dropping buildings and developments. Today we learned they’re ready to spend $1.66 billion to get into the satellite business.
$1.66 billion. That’s a nice big bag of money. And a consortium of Thales Alenia Space and EADS Astrium are getting it. Abu Dhabi’s Al Yah Satellite Communications Company (Yahsat) announced a contract for the consotium to build a new satellite system, via Gulf News:
Two satellites and an earth station will comprise the system that will serve military and commercial communication purposes, providing broadcasting, tele-communication and broadband services.
"The system initially will serve the Middle East, Africa, most of Europe, and South East Asia regions," Jasem Mohammad Al Za’abi, Yahsat’s chief executive officer, said.
Sixty-five per cent of the financing will be through a syndicated loan, and the remaining 35 per cent will be through Yahsat, 100 per cent owned by Abu Dhabi’s Mubadala Development Company, according to Waleed Ahmad Al Mokarrab, Yahsat’s chairman, and Mubadala’s chief operating officer.
Not a bad idea, considering how the oil market is behaving. Take the money and invest it in something that will last for generations: satcom, baby! The people who run Yahsat-backers Mubadala seem to know what they’re doing.
