Recently, the U.S. Bankruptcy Court in Manhattan has allowed
LightSquared Inc. to send a standalone bankruptcy plan to
creditors for vote. This bankruptcy exit plan has been supported
by Fortress Investment Group LLC., JPMorgan Chase & Co. and
Melody Capital Advisors LLC.
DISH Network Corp.
) has won a favorable ruling to take part in the spectrum auction
of LightSquared Inc. The creditors of LightSquared can now choose
LightSquared's plan or DISH Network's spectrum purchase.
In May 2013, DISH offered $2.22 billion to acquire 40 MHz of
wireless spectrum held by LightSquared, which is currently
bankrupt. However, Harbinger Capital Partners, the principal
owner of LightSquared, rejected this bid stating that DISH has
resorted to fraudulent means to enter the bidding process. Both
), controlled by Charlie Ergen, are major competitors of
In Oct 2013, a Manhattan bankruptcy judge approved DISH's bid
and has set an auction date on Nov 25, 2013. Earlier, the Federal
Communications Commission (FCC) had refused the use of this
particular airwave as it was interfering with the global
positioning system. This led to LightSquared's bankruptcy. Later
on, the FCC conducted more tests on the spectrum and eventually
permitted an auction with a few modifications.
Meanwhile, in the last couple of years, DISH has constructed
an extensive wireless/satellite spectrum base. On Jun 17, 2013,
NTELOS Holdings Corp.
) jointly started providing fixed-mobile broadband network to
offer high-speed Internet service to areas served by NTELOS. This
joint venture will reach other parts of the U.S. in early
On Dec 17, 2013, DISH together with
) announced that the two companies have decided to jointly
develop and deploy a fixed broadband network in Corpus Christi,
in Texas. The network is expected to start from mid-2014 on a
trial basis. If successful, then the two entities may extend the
broadband network to other areas.
DISH NETWORK CP (DISH): Free Stock Analysis
NTELOS HOLDINGS (NTLS): Free Stock Analysis
SPRINT CORP (S): Free Stock Analysis Report
ECHOSTAR CORP (SATS): Free Stock Analysis
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