The Inmarsat Council reached an agreement to privatize Inmarsat with a target date of 1 January 1999. According to Inmarsat, its signatories, parties and management have worked together for three years to design and develop the framework for a new Inmarsat comprising a public limited company that will seek an initial public offering within about two years of formation; and a structure to ensure Inmarsat meets its public service obligations, including the Global Maritime Distress and Safety System. The council has appointed investment bank SBC Warburg Dillon Read to advise on implementing the restructuring, including undertaking financial; leading legal, due diligence; and providing advice on the timing and level of an IPO.
Multinational Automated Clearing House U.S.A. (MACH USA) announced it entered into an agreement with Iridium L.L.C. to provide its MACH Data clearing services for roamer call data. “MACH, with its data processing centers in the United States, Luxembourg and India, offers Iridium access to its roaming partners worldwide,” said Peter Walsh, vice president of operations for MACH USA. “We are currently connected to over 155 cellular network operators on behalf of our existing customers.”
L.M. Ericsson and Qualcomm Inc. won contracts valued at US$321 million from Globalstar L.P. to supply mobile and stationary handsets for the company’s mobile satellite network, reported the Financial Times.
Teledesic L.L.C. announced that His Royal Highness Prince Alwaleed Bin Talal Bin AbdulAziz Alsaud of Saudi Arabia has invested US$200 million in the telecommunications company through family trusts. Alwaleed is the nephew of Saudi Arabia’s King Fahad. Using a constellation of 288 low-earth-orbiting satellites, Teledesic is being developed to provide high-speed data connections to businesses, institutions and individuals worldwide. The primary investors in the Teledesic venture are United States wireless entrepreneur Craig McCaw and Microsoft Chairman Bill Gates. Teledesic is based in the United States. McCaw is perhaps best known in the United States for starting McCaw Cellular Communications Inc., which eventually became the wireless arm of AT&T Corp.
