AVN.L Regulatory News (AVN)

7 December 2015

AVANTI COMMUNICATIONS GROUP PLC

UK Universal Broadband Contract Win

Avanti Communications Group plc announces a new contract with BT, to be part of BT's supply of wholesale consumer broadband services which will be sold onwards to consumers in the UK through a network of satellite resellers under the auspices of the British Government's Universal Service Commitment.

Under this plan directed by Broadband Delivery UK ("BDUK"), up to 300,000 homes which cannot access greater than 2Mbps from terrestrial networks will be eligible to receive a contribution from government to fund the installation of satellite broadband services, with the consumer then paying monthly service charges. The scheme is expected to go live during December.

David Williams, Chief Executive of Avanti said: "We welcome this significant intervention by government to ensure that the Universal Service Commitment is met and we are pleased to serve the best interests of the UK consumer."

Ed Vaizey MP, Digital Economy Minister said: "Our rollout of superfast broadband has already reached an additional 3.5 million homes and businesses who would otherwise have missed out. We are making tremendous progress, but it's a massive engineering project and won't happen overnight. This scheme offers immediate assistance to those homes and businesses in the most remote areas with the slowest speeds and is all part of our transformation of the UK's digital landscape."

For further information please contact:

Avanti: Matthew Springett, +44 (0)207 749 6703

Montfort: Nick Miles / James Olley, +44 (0)203 770 7909

Redleaf: Hannah Nicolas, +44 (0)207 382 4734

Cenkos Securities: Max Hartley (Nomad) / Julian Morse, +44 (0)207 397 8900

Notes to editors

Avanti Communications

Avanti connects people wherever they are - in their homes, businesses, in government and on mobiles. Through the HYLAS satellite fleet and more than 160 partners in 118 countries, the network provides ubiquitous internet service to a quarter of the world's population. Avanti delivers the level of quality and flexibility that the most demanding telecoms customers in the world seek.

Avanti is the first mover in high throughput satellite data communications in EMEA. It has rights to orbital slots and Ka band spectrum in perpetuity that covers an end market of over 1.7bn people.

The Group has invested $1.2bn in a network that incorporates satellites, gateway earth stations, datacentres and a fibre ring.

Avanti has a unique Cloud based customer interface that is protected by patented technology.

The Group has three satellites in orbit and a further two fully funded satellites under construction.

In the UK service is supplied using Avanti's HYLAS 1, 2 and 4 Ka-band satellites, which have 100% coverage of the British Isles. Users can choose from packages offering up to 30Mbps.

Avanti Communications is listed in London on AIM (AVN:LSE).

www.avantiplc.com

Broadband Delivery UK

Broadband Delivery UK ("BDUK"), part of the Department for Culture, Media and Sport, is delivering superfast broadband and better mobile connectivity to the nation.

The Government is investing over £1 billion in improving broadband and mobile infrastructure to:

• provide superfast broadband coverage to 90% of the UK by 2016,

• provide basic broadband (2Mbps) for all by 2016,

• provide superfast broadband to 95% of the UK by 2017,

• explore options to get near universal superfast broadband coverage across the UK by 2018,

• create 22 'SuperConnected Cities' across the UK by 2015; and,

• improve mobile coverage in remote areas by 2016.