Inmarsat’s shareholders approved a $3.4bn (£2.58bn) private equity takeover today despite 21 per cent of investors attempting to vote down the deal.
The takeover of the British satellite operator is the second largest public-to-private deal ever in the UK, bringing an end to talks that began in January.
While 79 per cent of investors backed the merger, 21 per cent voted against it – equivalent to 473 shareholders voting for the deal to 148 against.
Lansdowne Partners, an 11.4 per cent stakeholder, had already committed to vote in favour of the merger.
Apax Partners, Warburg Pincus, Canada Pension Plan Investment Board and Ontario Teachers’ Pension Plan will now take control of the firm through their joint company Bidco.
The deal came about as Inmarsat faced pressure from large, established rivals and younger, more nimble competitors.
But the go-private takeover followed Inmarsat’s decision to rebuff a $3.25bn offer from US satellite provider Echo Star last year.
At the time of recommending the acquisition, Inmarsat called the $7.09 per share offer pricing “fair and reasonable”.
Inmarsat was advised by JP Morgan Cazenove, PJT Partners and Credit Suisse.
UBS, a joint adviser, advised the private equity firms.