SAN FRANCISCO – Intelsat SA introduced a reorganization plan Feb. 12 to scale back the Luxembourg-based communications satellite tv for pc fleet operator’s debt from practically $15 billion to $7 billion.
Collectors chargeable for roughly $3.eight billion of Intelsat’s debt have authorised Intelsat’s plan and the corporate is searching for approval from further collectors, based on a Plan of Reorganization filed Feb. 12 with the U.S. Chapter Courtroom for the Japanese District of Virginia.
Beneath the plan, Intelsat would concern new inventory with 95% of the shares going to unsecured collectors of subsidiary Intelsat Jackson. Intelsat has requested a March 17, 2021 Chapter Courtroom listening to on the proposal. If authorised, the corporate might emerge from Chapter 11 within the second half of 2021, based on an Intelsat information launch.
Intelsat filed for bankruptcy court protection in May in an effort to eliminate around half of its $15 billion debt and unencumber funding to buy satellites to clear C-band spectrum for U.S. 5G networks in alternate for funding from a U.S. Federal Communications Fee public sale.
Intelsat stands to obtain a most of about $4.86 billion if it meets the FCC deadlines for clearing spectrum, based on a report Intelsat filed Feb. 12 with the U.S. Securities and Alternate Fee. Intelsat has ordered seven satellites as part of its spectrum-clearing plan.
Because it negotiates its exit from chapter, Intelsat is also defending a declare SES filed within the U.S. Chapter Courtroom for the Japanese District of Virginia seeking at least $1.8 billion in damages associated to Intelsat’s withdrawal from the C-Band Alliance.
“The trial on the SES proof of declare has been scheduled to be heard by the Chapter Courtroom starting on June 28, 2021,” based on Intelsat’s Feb. 12 Securities and Alternate Fee submitting.