France blocks Eutelsat strategic asset sale

The French government has stopped Eutelsat from selling its ground antenna business to private equity firm EQT, calling the unit a strategic asset needed to compete with Elon Musk’s Starlink. The €550 million deal, agreed in December 2024, has been cancelled after “conditions precedent” were not met, with finance minister Roland Lescure confirming the state directly vetoed the move.

Lescure told TF1 the antennas handle both civilian and military communications, and argued that as Eutelsat is “the only European competitor to Starlink,” the infrastructure could not be sold. France is Eutelsat’s largest shareholder with a 29.6% stake, and the UK also owns a share after the OneWeb merger. Eutelsat had planned to use the proceeds to boost capital and cut debt, while retaining a minority stake and leasing back the antennas. EQT said it will now look for other satellite ground infrastructure investments.