Speedcast Completes Sale of Speedcast Managed Assets to NBN

Sydney, Australia, Nov 2, 2020--Following a two-year partnership, which has delivered NBN Co's Business Satellite Services to businesses across Australia, Speedcast International Limited (ASX:SDA) (FRA:7SC) (OTCMKTS:SPPDQ) has today announced it has sold selected functions of its wholly-owned subsidiary and dedicated entity, Speedcast Managed Services, to Australian government-owned infrastructure provider, NBN Co.

Speedcast Managed Services helped build and operate the Business Satellite Service on NBN Co's satellite network. This included the design, integration and commissioning of the new network on NBN high throughput satellite (HTS) systems, with more than 50 beams and a comprehensive terrestrial infrastructure capable of providing a range of high-data internet service offerings.

The network design included the development of unique operations support system ! (OSS) and business support system (BSS) environments. This network went live on 30 Sept 2019 and Speedcast Managed Services has been operating it on behalf of NBN Co.

Under the sale, Speedcast Managed Services employees, assets and equipment now revert to its sole client, NBN Co, to support the ongoing requirements of the National Broadband Network. Accordingly, the Master Equipment and Services Supply Agreement (MESSA) signed between NBN Co and Speedcast on 2 February 2018 will come to an end with immediate effect.

Speedcast will continue to work as a Retail Service Provider to deliver NBN Co's Business Satellite Services, building on its long-time presence in Australia providing managed connectivity services to enterprise, government, energy and maritime customers.

"We are proud of what our partnership with NBN Co has delivered and look forward to continuing our relationship and providing many more Australian businesses with essential connectivity," said Joe Spytek, President and Chief Commercial Officer at Speedcast. "This sale provides both parties with considerable benefits, as NBN Co looks to bring delivery and project management of its Business Satellite Service in-house and we work to finalise our recapitalisation process. We congratulate NBN Co on their purchase and look forward to continue working together on new initiatives."