Spanish defence and technology company Indra Group agreed to buy almost 90 per cent of satellite operator and service provider Hispasat for €725 million.

In a brief statement, Indra noted the deal was subject to regulatory approvals and would see it acquire the majority of the share capital of Hispasat from Redeia.

It has secured €700 million in financing to fund the deal, with the remainder coming from existing resources.

Hispasat provides broadband and satellite connectivity including what it describes as “extension of cellular networks”. Customers include businesses, governments and telecommunications providers in Europe, North Africa and the Americas.

In the corporate segment, its infrastructure can be used to provide on-board Wi-Fi on aeroplanes, broadband connectivity on trains and maritime communications systems. It also distributes satellite television services in Spanish and Portuguese languages.

Indra Group is part-owned by Spanish state investment body Sociedad Estatal de Participaciones Industriales and is a holding company which includes defence, air traffic and space company Indra, and digital transformation specialist Minsait.