AVN.L Regulatory News (AVN)

Date: 15th February 2012

On behalf of: Avanti Communications Group plc ("Avanti" or "the Company")

Embargoed until: 0700hrs

Contract Win: STM buys capacity for Spain on HYLAS 1

Avanti, the satellite operator, announces that global satellite network operator STM has entered into a contract to buy capacity on HYLAS 1 to enable them to launch Enterprise services in Spain. They will be installing an STM SatLink 9400 RCS2 ready hub in Avanti's Gateway Earth Station at Goonhilly. In providing their services to end-user customers, STM will be using their DVB-RCS multiband terminals. The STM hub will be managed from STM's global network centre in Madrid by Global IP.

David Williams, Chief Executive Officer of Avanti, said: "I am delighted to see our relationship with STM grow. The quality, reliability and flexibility of Avanti's offering has made it the product of choice for another Ka band service platform."

Bjorn Platou, Vice President, European Operations for STM said: "We are very pleased to be entering the Ka band enterprise market in Europe with our long-standing partner, Avanti, based on the highly resilient HYLAS 1."

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For further information please contact:

Avanti Communications Group Plc Tel: +44 (0)20 7749 1600

David Williams / Sean Watherston

Cenkos Securities plc Tel: +44 (0) 20 7397 8900

Nicholas Wells (Nomad) / Julian Morse (Sales)

Jefferies International Limited Tel: +44 (0) 20 7029 8000

Julian Smith / Thomas Rider

Redleaf Polhill Tel: +44 (0) 20 7566 6700

Emma Kane / Paul Dulieu

About Avanti

·; Avanti sells satellite data communications services to telecoms companies which use them to supply residential, enterprise and institutional users.

·; Avanti's first satellite called HYLAS 1, launched on November 26th 2010 and is the first superfast broadband satellite launched in Europe.

·; Avanti's second satellite, called HYLAS 2, is on target for launch in Q2 2012. It will extend Avanti's coverage to Africa and the Middle East.

·; Avanti's third satellite HYLAS 3, to be launched in partnership with ESA in 2015, will provide further capacity in the EMEA region

·; 80% of Avanti's fleet capacity will address the Emerging telecommunications markets of Africa and the Middle East.

About STM

STM has built satellite networks in more than 50 countries around the world, often selling through or working with local integrators and other partners. It serves telecom carriers (wireline and wireless), ISPs, governments, and private enterprises in various industries. They also operate these networks for their customers, taking on the service level requirements imposed on them by their regulators and customers. They adapt their VSAT network solutions for each customer and work closely with their local partners on logistical and business challenges. 

From their multiple operations centres they provide 24x7 customer support and can provide total managed network services anywhere in the world.