Satellite Solutions expands Poland broadband business

The AIM-listed satellite broadband firm confirmed the acquisitions in an announcement to the market on Monday, saying it was a positive progression of its plan to consolidate the European satellite internet market.

After the two transactions, Satellite Solutions would have acquired six providers since its admission to AIM in May 2015.

The acquired customer bases and assets were to be integrated with Satellite Solutions' existing operations in Poland under a new wholly-owned subsidiary, Europasat Sp. Z.o.o., which had been successful in acquiring a Polish Telecoms operating license.

Following the two acquisitions, Satellite Solutions was the largest satellite broadband provider in Poland, and considered itself well-positioned to target a potential market of almost 5m homes in the eastern European country.

Satellite Solutions said these homes - more than a third of Poland's households - did not have access to broadband faster than 2 Mbps, putting them in the target market for wireless service delivered via satellite.

"These two acquisitions, and the infrastructure created around them, provide a solid platform for rapid organic growth in one of Europe's greatest satellite broadband markets", said CEO Andrew Walwynn.

Looking ahead, he saw a recent regulatory announcement from Westminster as an opportunity for the firm.

"The recent announcement of the UK's own government intervention scheme via BDUK, giving funding to cover the set-up costs for satellite broadband for up to 300,000 homes and businesses who can't get fast wired broadband, further underpins satellite as the go-to technology for locations where fibre can't deliver", Walwynn said.

At 1415 GMT, shares in Satellite Solutions Worldwide were down slightly, 1.76% to 4.17p.