Intelsat plots roughly $650m US IPO

Global satellite operator Intelsat is seeking to raise roughly $650 million through an IPO on the New York exchange, less than half of the amount the company sought last year.
The company announced plans to float around 27.3 million common shares on the NYSE at an offer price of between $21 and $25, together with around $150 million worth of convertible preferred shares.
The total offer represents around 21% of the company, and at the midpoint of the price-range, Intelsat would be valued at $2.4 billion, Bloomberg reported. The company earned revenue of $2.61 billion in 2012.
The proceeds will be largely used to pay off debt. In the wake of the announcement, Moody's revealed it had placed most of Intelsat's debt ratings on review for a possible upgrade.
Moody's said it would review debt instruments and commitments from Intelsat worth around $16.4 billion, in light of the IPO plan and the company's willingness and ability to continue repaying debt.
In May last year, Intelsat filed for an IPO worth as much as $1.75 billion. But the company was forced to suspend the offer due to poor market conditions.
Intelsat is headquartered in Luxembourg and operates out of Washington in the US.

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