14 Oct 2008 07:00
Date: 14 October 2008
On behalf of: Avanti Communications Group plc ("Avanti" or "the Company")
Embargoed until: 0700hrs
Avanti Communications Group plc
Contract Win
Avanti Communications Group plc (AIM: AVN), the broadband satellite operator, announces it has signed a contract to provide broadband services to Prime Satellite Broadband (PSB), a provider of satellite broadband services in Western Europe. The initial contract value, consisting of a fixed three year commitment to dedicated bandwidth on Avanti's broadband satellite, HYLAS, plus associated hardware and services, is £228,000 over three years.
The contract is for a "Virtual Network Operator" (VNO) service, which means that Avanti provides a fully managed service and PSB manages its own sales, installation, first line customer service and billing. This model is proving to be highly successful for Avanti in building an order book of specialist communications partners. It enables growing companies to grow rapidly a subscriber base at competitive prices without making a high investment in bandwidth or equipment themselves.
David Williams, Chief Executive of Avanti, said:
"We are delighted to be working with PSB who are exactly the kind of specialist satellite broadband partner we need to work with to grow the market in Europe. I am pleased that Avanti is showing a very steady flow of contract wins, suggesting that the market likes our technology and business model. Given current macro-economic turmoil, we are comfortable in the knowledge that Avanti is fully funded, with ample cash in the most secure deposit accounts and delivering on its business plan."
Enquiries to:
| Avanti Communications Group plc | http://www.avanti-communications.com/ |
| David Williams | 020 7749 1600 |
| Redleaf Communications Ltd | avanti@redleafpr.com |
| Emma Kane/ Samantha Robbins/ Rebecca Sanders-Hewett/ Anna Dunkin | 020 7822 0200 |
| Cenkos Securities | |
| Ivonne Cantu / Julian Morse | 020 7678 8000 |
Notes to Editors:
About Avanti Communications
Avanti Communications Group plc is the only licensed Fixed Satellite Services operator headquartered in the UK (and one of only eight such groups operating in Europe);
Avanti sell satellite broadband services to wholesale customers targeting consumer, enterprise and institutional markets.
Avanti's first satellite, called Hylas is under construction and due for launch in 2009; the company plans further satellite projects
Avanti, which has more than 10 years' experience in the satellite industry, currently provides satellite broadband services to customers in Europe using leased satellite capacity which it will transfer to Hylas on launch
No further funding is required for the Hylas project following successful completion of a long term debt facility in July 2007.
The European Commission has set aside funding for rural broadband projects in 79 regions across Europe with a total value of €1.8 billion over the next five years.
About PSB
Prime Satellite Broadband mission is to provide high, reliable satellite broadband to both fixed and transportable users. PSB has supplied Inmarsat and other satcoms services to many customers including, C&W, Gloucestershire Fire & Rescue, NWN City Learning Centre, Hansabank, Australian Broadcasting Corporation.
Prime Satellite Broadband is a Division of Prime Satcom Consulting Limited