Inmarsat plc is a provider of global mobile satellite communications services, providing data and voice connectivity to end users worldwide.
The Company’s segments include Inmarsat Global, which includes supply of wholesale airtime, equipment and services to distribution partners and other wholesale partners of mobile satellite communications by Inmarsat Global business, and Stratos, which includes supply of advanced mobile and fixed-site remote telecommunications services and provision of customised turnkey remote telecommunications solutions. Inmarsat's award-winning Broadband Global Area Network (BGAN) service, for example, makes it possible for TV broadcasters to beam live breaking news from remote locations into millions of homes.
The acquisition of Segovia, a provider of secure IP communications systems strengthening its relationships to US government agencies.
Inmarsat has 11 geostationary satellites, which provide a portfolio of global mobile satellite communications services for use on land, at sea and in air. It includes voice and broadband data services, which support safety communications, as well as email, Internet, secure virtual path number access and videoconferencing. As of August 2010, Boeing, the US aerospace manufacturer, has been contracted to build a pioneering new constellation of satellites - the Inmarsat-5s. They will form the backbone of the planned Inmarsat Global Xpres network, delivering mobile broadband speeds of up to 50 megabits per second.
Inmarsat therefore have a unique position in satellite communications, although it is obvious that this does not guarantee sustained high earnings (and therefore dividends). The company does seem to be well financed and well positioned for future growth in international telecommunications. Most debt is in the form of long-term bonds and convertible debt or project finance to fund satellites.
Motley Fool liked Inmarsat at a much higher price.
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