Mobile
WorldSpace sats to be de-orbited?
Chris Forrester ©RapidTVNews | 17-03-2010
Most unexpectedly, WorldSpace says its strategic negotiations with Liberty Satellite Radio, a subsidiary of John Malone’s Liberty Media, have been terminated.
Liberty put in about $21m or so to either buy up WorldSpace’s debt obligations or to assist in day-to-day running costs for WorldSpace’s Chapter 11 bankruptcy. Most observers happily predicted a link between Liberty Media and Sirius-XM and using the WorldSpace orbiting satellites to jump-start a ‘Sirius International’ pay-radio service.
Not so. WorldSpace’s press release, issued late on Tuesday afternoon, said: “WorldSpace is awaiting information from Liberty as to its expectations as WorldSpace's secured lender with respect to the handling of Liberty's collateral. In the interim, WorldSpace is planning for a potential de-commissioning of its satellites and reviewing its strategic alternatives in light of the termination of negotiations.”
Only last week Liberty submitted a formal filing to the FCC to take posessesion of the two orbiting satellites, and most observers saw this as another careful step on the road towards WorldSpace’s rehabilitation.
What a mess! We cannot begin to speculate as to what’s gone wrong this time.
© Rapid TV News 2010
