O3b Networks is the developer of a new, fiber-quality, satellite-based, global Internet backbone for Telecommunications Operators and Internet Service Providers serving the emerging markets. The company has raised a total of US$ 1.2 billion from a group of investors and banks. This will see the company through to the launch of its first satellites which will provide low-latency, fiber-quality internet connectivity between developing markets and the global internet infrastructure. The total funding now comprises a US$510m Coface-backed Senior Debt Facility provided by HSBC, ING, CA-CIB and Dexia; a US$115m Senior Debt Facility and a US$145m Mezzanine Facility provided by HSBC Principal Investments, DBSA, AFDB, DEG, Proparco, FMO, IFC and EAIF; and US$410m in equity financing, of which US$230m is new equity investment. The additional equity is being provided by a group of existing shareholders that includes Google, North Bridge Venture Partners and Allen & Company, with SES, Liberty Global and HSBC Principal Investments taking the leading role. New investors include the Development Bank of Southern Africa, Sofina and Satya Capital. With this final round of funding, SES will become the largest minority shareholder of O3b Networks and will provide in-kind services, including commercial and engineering expertise.
The full names of the international banks and developmental funding institutions are:
- Full names of international banks and developmental funding institutions:
- Emerging Africa Infrastructure Fund (EAIF)
- Development Bank of Southern Africa (DBSA)
- Africa Development Bank (AfDB)
- Société de Promotion et de Participation pour la Coopération Economique (PROPARCO)
- Deutsche Entwicklungs Gesellschaft (DEG)
- Nederlandse Financierings-Maatschappij voor Ontwikkelingslanden N.V. (FMO)
- International Finance Corporation (IFC)