Takeover of British satellite group Inmarsat given all-clear by Government

The takeover of the British satellite group Inmarsat by an American rival has given the government all the clarity.

Company secretary Jacob Rees-Mogg brushed off Viasat’s £5.6 billion takeover, saying it poses no security threat. The move will fuel fears of an erosion of British industry as overseas predators prey on assets.

Those fears appear to be fueled next week with French conglomerate Schneider Electric making an offer for tech group Aveva before a deadline on Wednesday.

The government had overseen the acquisition of Inmarsat under the National Security and Investment Act, which allows ministers to block deals.

Viasat CEO Mark Dankberg said: “The approval is another important step towards closing the deal.”

But analyst Russ Shaw of Tech London Advocates said: ‘I was surprised and curious to see what the Business Secretary will do next. His attitude might be, “Let’s get the government out of the way and let the market run its course.” The first signs are that he is not an interventionist.’

Inmarsat is Britain’s largest satellite company. It is the largest provider of WiFi onboard airlines and a major player in internet connections for ships.

And it’s still under investigation by competition regulators, with a decision expected Oct. 5 on whether or not to refer the deal for a more in-depth investigation.

Meanwhile, Aveva and Schneider talk about Schneider taking over the 40 percent of Aveva it doesn’t already own. The British takeover watchdog has imposed a September 21 deadline.