15 March 2011 – satellite testing

The satellite communications group has announced that its HYLAS 1 satellite has completed its in-orbit testing and is working in conformance with specification and, in some areas, delivering higher performance than originally specified.  Avanti will now start services on this.  This is clearly good news as another hurdle has been crossed.

Since we recommended the shares only a month or so ago they have fallen sharply although the market has dropped back significantly too.  Five directors of the company invested heavily at the end of February and beginning of March, buying a total of 77,390 shares between 500p and 506p.  Although the shares are speculative we believe that they have fallen too far and re-iterate our recommendation of BUY.