LONDON (Pakistan Point News / Sputnik - 03rd July, 2020) The UK government and the Bharti Global Limited telecommunications company will invest over $1 billion into the UK-headquartered private satellite manufacturing company OneWeb to save it from bankruptcy, OneWeb said on Friday.
OneWeb planned to launch up to 672 satellites into low Earth orbit with the vision to provide broadband internet access to the entire world's surface. In late March, it filed for bankruptcy in a New York state court.
"A consortium of Her Majesty's Government (through the UK Secretary of State for Business, Energy and Industrial Strategy) and Bharti Global Limited have committed to provide more than USD$1 billion to acquire OneWeb and fund the full restart of its business operations," OneWeb said in a statement.
The agreement has to be approved by OneWeb's creditors, the Bankruptcy Court and regulators. Formalities are expected to be completed by the fourth quarter of the year.
The share that the sides will purchase is not disclosed officially, but media reports claim the UK government and the Bharti Global Limited could secure a 20 percent stake.
