SoftBank-backed OneWeb sweetens deal for Intelsat

New York

ONEWEB, the US satellite startup backed by Japan's SoftBank Group Corp, has increased its merger proposal for Intelsat SA by offering Intelsat's creditors a smaller discount for their bonds than it had before.

The merger of OneWeb and Intelsat has been stalled because Intelsat's debt investors have not been willing to accept the US$3.6 billion haircut on their bonds the deal requires. OneWeb's new offer reduces the concessions Intelsat's bondholders must accept to about US$2.85 billion.