Satellite: Details of FCC C-band plan establish higher-than-expected incentive payments

Research evidence excerpt

Satellite: Details of FCC C-band plan establish higher-than-expected incentive payments

Equity Research

27 July 2026 | 11:14AM BST

Satellite: Details of FCC C-band plan establish higher-than-expected

incentive payments

The FCC has published its plan to auction 160MHz of C-band spectrum in July 2027 Andrew Lee

+44(20)7774-1383 |

which establishes a total of $6.3bn gross incentive payments available to satellite andrew.j.lee@gs.com

Goldman Sachs International

players. At c.$39mn/MHz, the proposed compensation is higher than both the

Halima Elyas

previous C-band auction (c.14% premium) and investor expectations. +44(20)7774-6503 |

Allocations of payments across satellite players are broadly in line with the previous halima.elyas@gs.comGoldman Sachs International

C-band process, as expected. This is a major positive for SES, which will receive Mollie Witcombe

c.89% of total incentive payments ($5.6bn). Assuming a similar tax rate to the prior +44(20)7051-6252mollie.witcombe@gs.com|

C-band monetisation, SES could retain c.$3.7bn net after taxes and payments to Goldman Sachs International

Rakicevicformer Intelsat shareholders compared to its $3.3bn MV at last close. The company Sofija | +44(20)7774-6556

has previously committed to returning at least a majority of future exceptional sofija.rakicevic@gs.com Goldman Sachs International

cashflows to shareholders, after delevering to 3.0x or below. Eutelsat is also set to

Mridul Agrawal

receive $504mn (8% of the total). We note all payments are subject to clearing +1(332)245-7969 |

mridul.y.agrawal@gs.com

milestones set for 2030 and 2031. Goldman Sachs India SPL

Exhibit 1: C-band incentive payments

$ mn

Incentive payments ($ mn)

Primary Final

Total Allocation

deadline deadline

SES 4,374 1,233 5,607 89%

ETL 393 111 504 8%