Avanti, the satellite operator of Britain has obtained a facility of credit costing $55 million as the company is waiting for the launch of its hosted payload which would be launched in July.
In a filing of May 28 with LSE, Avanti said that the facility is for two years through which the company could take loans consisting of an interest of 12.5% annually.
Avanti said that it is planning to use these loans for funding capital expenses and for meeting the needs of capital. After going through a decline in the revenue since the year 2015, the company said that it is expecting to grow this year and they are thankful to their customers of the new satellite
Hylas-4 which was launched the previous year and their forthcoming hosted payload Hylas-3, which will be launched on July 24 on a rocket Ariane 5.
For the financial performance of 2018 as proxy, the company said that it is expecting $32 million as revenue in bandwidth. This is a sum that does not include projects of low-margin and equipment sales.
The financial results of 2018 of the company are scheduled to be released on June 7, said the company. The company for reported a total revenue of $56.6 million from 2016’s $82.8 million.
The bandwidth revenue of the company has fallen short of the expected $80 million that it costed for delivering. The company said that it has cost-effective project that is aims at reducing the costs by 15% per year by 2020. The company said that the growth off government customer on Hylas-3 and Hylas-4 are expected to increase the revenue of bandwidth by 125% in 2019 and 40% in 2020. The company has signed an agreement of distribution for seven years with Comsat, the service provider from US in August which has given Avanti the access to customers of US government.