UK Universal Broadband Contract Win
7 December, 2015
UK Universal Broadband Contract Win
Avanti Communications Group plc announces a new contract with BT, to be part of BT's supply of wholesale consumer broadband services which will be sold onwards to consumers in the UK through a network of satellite resellers under the auspices of the British Government’s Universal Service Commitment.
Under this plan directed by Broadband Delivery UK (“BDUK”), up to 300,000 homes which cannot access greater than 2Mbps from terrestrial networks will be eligible to receive a contribution from government to fund the installation of satellite broadband services, with the consumerthen paying monthly service charges. The scheme is expected to go live during December.
David Williams, Chief Executive of Avanti said:“We welcome this significant intervention by government to ensure that the Universal Service Commitment is met and we are pleased to serve the best interests of the UK consumer.”
Ed Vaizey MP, Digital Economy Minister said:“Our rollout of superfast broadband has already reached an additional 3.5 million homes and businesses who would otherwise have missed out. We are making tremendous progress, but it’s a massive engineering project and won’t happen overnight. This scheme offers immediate assistance to those homes and businesses in the most remote areas with the slowest speeds and is all part of our transformation of the UK’s digital landscape.”
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For further information please contact:
Avanti: Matthew Springett, +44 (0)207 749 6703
Montfort: Nick Miles / James Olley, +44 (0)203 770 7909
Redleaf: Hannah Nicolas, +44 (0)207 382 4734
Cenkos Securities: Max Hartley (Nomad) / Julian Morse, +44 (0)207 397 8900
Notes to editors
Avanti Communications
Avanti connects people wherever they are – in their homes, businesses, in government and on mobiles. Through the HYLAS satellite fleet and more than 160 partners in 118 countries, the network provides ubiquitous internet service to a quarter of the world’s population. Avanti delivers the level of quality and flexibility that the most demanding telecoms customers in the world seek.
Avanti is the first mover in high throughput satellite data communications in EMEA. It has rights to orbital slots and Ka band spectrum in perpetuity that covers an end market of over 1.7bn people.
The Group has invested $1.2bn in a network that incorporates satellites, gateway earth stations, datacentres and a fibre ring.
Avanti has a unique Cloud based customer interface that is protected by patented technology.
The Group has three satellites in orbit and a further two fully funded satellites under construction.
In the UK service is supplied using Avanti’s HYLAS 1, 2 and 4 Ka-band satellites, which have 100% coverage of the British Isles. Users will then be able to choose from packages offering up to 30Mbps.
Avanti Communications is listed in London on AIM (AVN:LSE).
Broadband Delivery UK
Broadband Delivery UK (“BDUK”), part of the Department for Culture, Media and Sport, is delivering superfast broadband and better mobile connectivity to the nation.
The Government is investing over £1 billion in improving broadband and mobile infrastructure to:
- provide superfast broadband coverage to 90% of the UK by 2016,
- provide basic broadband (2Mbps) for all by 2016,
- provide superfast broadband to 95% of the UK by 2017,
- explore options to get near universal superfast broadband coverage across the UK by 2018,
- create 22 ‘SuperConnected Cities’ across the UK by 2015; and,
- improve mobile coverage in remote areas by 2016.
- Telkom SA Contract Win
- 3 November, 2015
- RNS
Telkom SA Contract Win
Avanti Communications Group plc (“Avanti” or “the Group”), a leading provider of satellite data communications services in Europe, the Middle East and Africa, announces that it has won a contract with Telkom SA to provide national high speed broadband coverage across South Africa.
Service will be supplied using Avanti’s HYLAS 2 Ka-band satellite, which has 100% coverage of South Africa across five beams. This multi-year commitment is expected to make a significant contribution to filling HYLAS 2 and HYLAS 4 South African capacity in a market that is developing well for Avanti.
David Williams, Chief Executive of Avanti said:“It is of great importance for Avanti to secure the partnership of Telkom in our shared mission to bring broadband to all government sites, businesses and homes in South Africa. The country is Avanti’s most important market and is served by HYLAS 2 and HYLAS 4. We are privileged to have been selected and look forward to a strong partnership. Avanti has now won contracts with the incumbent national telecoms companies in all of its core African markets, in-line with its announced strategy.”
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For further information please contact:
Avanti: Matthew Springett, +44 (0)207 749 6703
Montfort: Nick Miles / James Olley, +44 (0)203 770 7909
Redleaf: Hannah Nicolas, +44 (0)207 382 4734
Cenkos Securities: Max Hartley (Nomad) / Julian Morse, +44 (0)207 397 8900
Notes to editors
Avanti connects people wherever they are – in their homes, businesses, in government and on mobiles. Through the HYLAS satellite fleet and more than 160 partners in 118 countries, the network provides ubiquitous internet service to a quarter of the world’s population. Avanti delivers the level of quality and flexibility that the most demanding telecoms customers in the world seek.
Avanti is the first mover in high throughput satellite data communications in EMEA. It has rights to orbital slots and Ka band spectrum in perpetuity that covers an end market of over 1.7bn people.
The Group has invested $1.2bn in a network that incorporates satellites, gateway earth stations, datacentres and a fibre ring.
Avanti has a unique Cloud based customer interface that is protected by patented technology.
The Group has three satellites in orbit and a further two fully funded satellites under construction.
Avanti Communications is listed in London on AIM (AVN:LSE).
Full Year Results
16 September, 2015
Avanti Communications Group plc (“Avanti” or “the Group”), a leading provider of satellite data communications services in Europe, the Middle East and Africa, issues the following results for the financial year ending 30 June 2015.
Highlights:
- Revenue up 29.9% to $85.2m (2014: $65.6m)
- Continuing business constant currency revenue up 50.4%
- Net cash at year end $122.2m (2014: $195.3m) with a pro forma cash balance of $248.5m
- Contract wins with key target customers including SENTECH, Tanzania Telecoms Company and Orange Telkom Kenya
- Top-20 Customer Bandwidth Revenue Growth 53.7%
- Year end fleet utilisation up to the 20% to 25% band (2014: 10% to 15%)
- Construction of HYLAS 4 commenced with launch on-track for early 2017
- Continuing business constant currency growth rate expected to continue into 2016
David Williams, Avanti’s CEO said:'Avanti has the most advanced technology platform in our region, delivering outstanding service quality across many application areas from broadband to defence, at prices that fundamentally change market demand. Our distribution platform in existing geographies is now mature, with success in signing the largest telecoms operators in most of our key markets. Thus the achievement of our long term plan is now a matter of continued execution of the same performance, with cash flows expected to build as customer growth compounds.’
For further information please contact:
Avanti: Matthew Springett, +44 (0)207 749 6703
Cenkos Securities: Max Hartley (Nomad) / Julian Morse, +44 (0)207 397 8900
Montfort: Nick Miles / James Olley, +44 (0)203 770 7909
Redleaf: Hannah Nicolas, +44 (0)207 382 473
Completion of HYLAS 4 satellite financing
18 August, 2015
RNS
Avanti Communications Group plc (“Avanti”), a leading provider of satellite data communications services in Europe, the Middle East and Africa (“EMEA”), announces the completion of financing for its HYLAS 4 satellite, in line with the previously announced financing plan.
Avanti has successfully placed $125m in Senior Secured Notes due 2019 (the “Notes”) under the Company’s existing indenture. The Notes will be issued at a small discount to the current trading price of Avanti’s existing notes and will have a coupon of 10%.
The investor group was led and managed by MAST Capital Management, LLC, a Boston-based investment firm.
HYLAS 4 remains on-track for launch in early 2017 and will complete Avanti’s coverage of EMEA. The majority of the satellite’s capacity will serve high-growth markets in Africa. The Company expects that this will consolidate its first mover advantage across EMEA, and enhance the future cash generation potential of the Group.
In addition, Avanti has also simultaneously conducted an equity capital raising (the "Capital Raising"). Avanti has issued 3,592,781 new ordinary shares (the "New Ordinary Shares") of 1p each (“Ordinary Shares”) at a price of 200.65p per New Ordinary Share, to raise approximately £7.2m ($11.3m) (net of expenses) in order to satisfy demand from bond investors.
The Capital Raising has been conducted under the Company’s existing shareholder authorities to allot new Ordinary Shares for cash on a non-pre-emptive basis. The issue price of 200.65p represents a discount of 4.0% to the closing middle market price of 209.00p per existing Ordinary Share on 17 August 2015, the last dealing day prior to this announcement.
Application has been made to the London Stock Exchange for the New Ordinary Shares to be admitted to trading on AIM (“Admission”). The New Ordinary Shares will represent approximately 2.47% of Avanti's issued Ordinary Share capital immediately following Admission. It is expected that Admission will become effective and that dealings in the New Ordinary Shares will commence on AIM at 8.00 a.m. on 21 August 2015. The Notes will be issued on the same day.
Following the Admission, the total number of Ordinary Shares with voting rights admitted to trading on AIM will be 145,396,350. The New Ordinary Shares will rankparipassu in all respects with Avanti's existing Ordinary Shares in issue. Avanti does not hold any Ordinary Shares in treasury.
The above figure of 145,396,350 Ordinary Shares may be used by shareholders in Avanti as the denominator for the calculations by which they will determine if they are required to notify their interest in, or a change to their interest in, the share capital of Avanti, under the Financial Conduct Authority's Disclosure and Transparency Rules.
Peter Reed, Partner and Portfolio Manager, MAST Capital Management, LLC said: “We have long admired Avanti’s business and its management team. The completion of the financing for the HYLAS 4 satellite is an exciting and important milestone for the Company and we are pleased to play a leadership role in the satellite’s development by investing $125 million into newly issued notes and shares.”
David Williams, Avanti Chief Executive, said, “Today’s funding for HYLAS 4 enables us to complete our coverage of EMEA in early 2017. Avanti now offers more High Throughput Satellite capacity to its telco customers in Africa than any other satellite operator, enabling us to build strong partnerships for the long term. Millions of people and businesses in Africa don’t have to wait for tomorrow, Avanti delivers superfast broadband today.”
For further information please contact:
Avanti: Matthew Springett, +44 (0)207 749 6703
Montfort: Nick Miles / James Olley, +44 (0)203 770 7909
Cenkos Securities: Max Hartley (Nomad) / Julian Morse, +44 (0)207 397 8900
Redleaf: Hannah Nicolas, +44 (0)207 382 4734
MAST: Steve Bruce or Taylor Ingraham, ASC Advisors, +1 203 992 1230
Notes to editors
Avanti connects people wherever they are – in their homes, businesses, in government and on mobiles. Through the HYLAS satellite fleet and more than 150 partners in 118 countries, the network provides ubiquitous internet service to a quarter of the world’s population. Avanti delivers the level of quality and flexibility that the most demanding telecoms customers in the world seek.
Avanti is the first mover in high throughput satellite data communications in EMEA. It has rights to orbital slots and Ka band spectrum in perpetuity that covers an end market of over 1.7bn people.
The Group has invested $1.2bn in a network that incorporates satellites, ground stations, datacentres and a fibre ring.
Avanti has a unique Cloud based customer interface that is protected by patented technology.
The Group has three satellites in orbit and a further two fully funded satellites under construction.
Avanti Communications is listed in London on AIM (AVN:LSE).
About MAST
Founded in 2002, MAST Capital Management, LLC is an SEC-registered investment advisor that specializes in event-driven and credit investments, focusing predominantly on middle market opportunities. Currently, MAST manages and sub-advises approximately $1.2bn for sophisticated institutional and family office investors globally. The Boston-based Firm is employee-owned with a minority stake held by Dyal Capital Partners, a subsidiary of Neuberger Berman.
2015 Pre-Close Trading Update
6 July, 2015
Avanti Communications Group plc (“Avanti” or “the Group”), a leading provider of satellite data communications services in Europe, the Middle East and Africa, issues the following pre-close trading update prior to its 2015 full year results.
Highlights
- Revenue for the 12 months ended 30 June 2015 over $80 million
- Constant currency continuing business revenue up over 50%
Trading
Trading has remained in line with the trends outlined in the third quarter statement. Avanti’s continuing business revenue growth rate, assuming constant currency, increased over 50% in the 2015 financial year. As anticipated, this core recurring revenue growth was augmented in the fourth quarter with non-recurring revenue. Period end cash was over $120m.
Avanti expects to announce its full year 2015 results on 16th September 2015.
David Williams Avanti’s CEO said:
“We have continued to develop Avanti’s growth platform in the fourth quarter. Avanti is winning new distribution partners and growing existing relationships in order to access the huge latent demand for connectivity in high growth markets. We have won a number of significant new contracts towards the end of the year, in the Broadband, Enterprise and Government sectors. Further significant transactions are pending, giving us an expectation of ongoing momentum in the first half of the new financial next year.”
For further information please contact:
Avanti: Matthew Springett, +44 (0)207 749 6703
Montfort: Nick Miles / James Olley, +44 (0)203 770 7909
Redleaf: Hannah Nicolas, +44 (0)207 382 4734
Cenkos Securities: Max Hartley (Nomad) / Julian Morse, +44 (0)207 397 8900
Notes to Editors
Avanti connects people wherever they are – in their homes, businesses, in government and on mobiles. Through the HYLAS satellite fleet and more than 150 partners in 118 countries, the network provides ubiquitous internet service to a quarter of the world’s population. Avanti delivers the level of quality and flexibility that the most demanding telecoms customers in the world seek.
Avanti is the first mover in high throughput satellite data communications in EMEA. It has rights to orbital slots and Ka band spectrum in perpetuity that covers an end market of over 1.7bn people.
The Group has invested $1.2bn in a network that incorporates satellites, ground stations, datacentres and a fibre ring.
Avanti has a unique Cloud based customer interface that is protected by patented technology.
The Group has three satellites in orbit and a further two fully funded satellites under construction.
Avanti Communications is listed in London on AIM (AVN:LSE).
Avanti Communications secures contract with South African state owned SENTECH
9 June, 2015
RNS
- Multi-year contract to deliver significant deployments across public sector services and government sites
- SENTECH reports into the Ministry of Telecommunications and Postal Services
Avanti Communications has signed a new multi-year contract with SENTECH, a state owned enterprise operating in the telecommunications sector in Africa. SENTECH delivers satellite broadband connectivity to South Africa’s public sector at scale, across hundreds of public state institutions and government sites.
KgankiMatabane, Chief Operations Officer at SENTECH, said:“We are delighted to unveil our new partnership with Avanti, which enhances SENTECH’s data connectivity technology platform in order to fulfil our public service mandate. This will enable us to provide robust connectivity services which extend our broadband infrastructure to some of the most remote sections of the country. Avanti’s satellite broadband service will allow SENTECH to enhance public value to a vast range of institutions across the country.”
David Williams, Avanti CEO commented:“The award of such an important contract for the delivery of vital connectivity to public sector users in South Africa is a strong indication of Avanti’s competitive advantages.Through this valuable partnership with SENTECH, we look forward to making a strong contribution to the efficiency of public services across South Africa.”
Service will be supplied using Avanti’s HYLAS 2 Ka-band satellite, which has 100% coverage of South Africa.
Notes to Editors
For further information please contact:
Avanti: Matthew Springett, +44 (0)207 749 6703
Montfort: Nick Miles / James Olley, +44 (0)203 770 7909
Redleaf: Hannah Nicolas, +44 (0)207 382 4734
Cenkos Securities: Max Hartley (Nomad) / Julian Morse, +44 (0)207 397 8900
About SENTECH
SENTECH is a State Owned Company (SOC) operating in the broadcasting signal distribution and telecommunications sectors and reporting to the Minister of Telecommunications and Postal Services. SENTECH’s signal distribution network forms the backbone of broadcasting in South Africa.In line with the Electronic Communications Act and Sentech Act, SENTECH’s primary public service mandate is “...to provide electronic communications services and electronic communications network services.” Within this context the Government sees Sentech as an intervention vehicle in the communications sector through network based infrastructure.
Visit:
About Avanti Communications
Avanti connects people wherever they are - in their homes, businesses, in government and on mobiles. Through the HYLAS satellite fleet and more than 150 partners in 118 countries, the network provides ubiquitous internet service to 27 per cent of the world’s population. Avanti delivers the level of quality and flexibility that the most demanding telecoms customers in the world seek.
Avanti is the first mover in high throughput satellite data communications in EMEA. It has rights to orbital slots and Ka-band spectrum that cover an end market of over 1.5bn people. The Group has invested $1.2bn in a network that incorporates satellites, ground stations, datacentres and a fibre ring. Avanti has a unique Cloud based flexible customer interface that is protected by patented technology.