bluepenguin
06-03-2010, 03:26 PM
By Chris Forrester
The on-off deal between Denver-based E*hostar and Mexico’s SatMex is definitely off again, according to reports.
According to the Mexican morning paper El Economista, the offer of about US$370 million was frustrated due to "participants' stinginess". The operation was not closed because of a $3m difference between both parties.
Now, the Mexican government, through the Secretary of Communications and Transport (SCT) led by Juan Molinar Horcasitas, will grant SatMex time to present a viable plan. Otherwise, the SCT will turn to one of the three alternatives: an inspection; the recovery of assets or the termination of the license. An official announcement will be made shortly, says local reports.
Last week, Horcasitas stated that although the acquisition agreement was about to be closed, "the agreement still depends on the compliance of a set of already agreed upon conditions". Satmex recorded net losses for US$3.7m over 1Q10, which accounts for a 29% decrease if compared with losses recorded in March 2009 ($5.4m). Between January and March, the company recorded a 3% increase in its total incomes, which accounted for $31.m.
The on-off deal between Denver-based E*hostar and Mexico’s SatMex is definitely off again, according to reports.
According to the Mexican morning paper El Economista, the offer of about US$370 million was frustrated due to "participants' stinginess". The operation was not closed because of a $3m difference between both parties.
Now, the Mexican government, through the Secretary of Communications and Transport (SCT) led by Juan Molinar Horcasitas, will grant SatMex time to present a viable plan. Otherwise, the SCT will turn to one of the three alternatives: an inspection; the recovery of assets or the termination of the license. An official announcement will be made shortly, says local reports.
Last week, Horcasitas stated that although the acquisition agreement was about to be closed, "the agreement still depends on the compliance of a set of already agreed upon conditions". Satmex recorded net losses for US$3.7m over 1Q10, which accounts for a 29% decrease if compared with losses recorded in March 2009 ($5.4m). Between January and March, the company recorded a 3% increase in its total incomes, which accounted for $31.m.