Monday, 29 August 2016
Last updated 29 min ago
Mar 25 2014 | 2:15pm ET
Philip Falcone’s wireless internet venture should be able to raise the money it needs to exit bankruptcy, its investment bank said.
Credit Suisse Group told U.S. Bankruptcy Judge Shelley Chapman in a letter that it was confident it could raise $1 billion in debt for LightSquared. The bank did say that the company would need “all required regulatory approvals," which it has yet to receive from the Federal Communications Commission, to get the loan.
LightSquared is seeking approval of a Fortress Investment Group-backed reorganization that would keep it an independent company. It has been battling with Dish Network founder Charles Ergen since its 2012 bankruptcy filing.
Dish has withdrawn its offer to buy LightSquared’s share of the electromagnetic spectrum, but Ergen still opposes the reorganization plan. LightSquared is seeking to have his purchase of $850 million of its debt declared illegal, which would prevent him from blocking its exit from bankruptcy.