Eutelsat has announced that it could merge with OneWeb to become more competitive with the American major LEO constellations such as Starlink or Kluiper. Despite the potentially interesting operational synergies, the short-term financial impact on the stock involves a material dilution of both EPS and DPS. Overall, we believe governments are realising the strategic geopolitical importance of LEO constellations and that OneWeb will become key for the EU. An interesting long-term bet.