Satellite deal clinched

SAN FRANCISCO - Intelsat will buy PanAmSat for US$3.2 billion ($4.6 billion) in cash to become the world's largest commercial-satellite operator.

The company said yesterday that it would pay US$25 a share for PanAmSat, the world's largest distributor of satellite-based television channels. The deal is subject to regulatory approval.

With the purchase, Bermuda-based Intelsat would boost its satellite tally from 28 to 53, said spokesman Tony Trujillo. SES Global operates 35.

PanAmSat chief executive Joseph Wright is expected to become Intelsat chairman.

PanAmSat raised US$900 million in its March IPO and became the first satellite company to list on the New York Stock Exchange.

- BLOOMBERG