Eutelsat and OneWeb are to combine with OneWeb shareholders holding  50% of Eutelsat.

The UK government, which had a 19.3% share in OneWeb before the merger, will retain rights over procurement, the location of the HQ and vetoing of customers on grounds of national security.

OneWeb will keep its name and its role in low orbit satellites. Eutelsat operates geostationary satellites.

The combined group will have co-chairmen – Eutelsat’s chairman Dominique D’Hinnin and the chairman of OneWeb’s former biggest shareholder Sunil Bharti Mittal.

CEO of the combined group will be Eutelsat’s CEO Eva Berneke (pictured).

“Future growth in connectivity will be driven by both GEO and LEO capacity,” says Berneke.

 Eutelsat had  €1.15 billion revenue  for its last financial year – down  6.7%, y-o-y. Its shares dropped 18% on news of the deal.

See also: Eutelsat appoints a Danish CEO – Eva Berneke