LightSquared, backed by hedge fund manager
Philip Falconer, has been in bankruptcy since 2012 and is
fighting to keep control of its valuable spectrum amid a
takeover push by Dish Network Corp <DISH.O>.
Reuters could not reach Centerbridge or LightSquared for comment
outside regular business hours.
Three creditor groups have proposed plans that contemplate an
auction for the assets, and Dish has already made a baseline bid
of $2.2 billion.
Centerbridge has offered to pay about $3.3 billion for
LightSquared and assume about $1.7 billion in various
liabilities, the Journal quoted the people as saying. (WSJ
A filing on LightSquared's bankruptcy docket on Wednesday
evening showed that the company did not hold the auction for its
assets scheduled for Wednesday and that LightSquared was
pursuing an alternative transaction.
Fortress Investment Group LLC <FIG.N>, earlier a LightSquared
investor, also planned to make an offer for the bankrupt
company, but withdrew the bid on Wednesday, the WSJ sources
It now backs Centerbridge's plan and with JPMorgan Chase & Co <JPM.N>
and Falcone's hedge fund Harbinger Capital Partners, will likely
be a minority investor alongside Centerbridge in the deal, the
(Reporting by Neha Alawadhi and Aman
Shah in Bangalore; editing by Lisa Shumaker)
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