Iridium L.L.C. announced the deadline for meeting certain customer and revenue thresholds, under the financial covenants of its $800 million senior secured credit facility, has been extended to Aug. 11.
This marks the third extension of the deadline, originally set for March 31, first postponed to May 31, then again to June 30. Iridium officials say this latest extension gives the company time to implement its new marketing strategy and price cuts. During this six-week period, Iridium said it also plans to negotiate an agreement in principle to restructure its entire capitalization. On July 15, the interest on Iridium’s high-yield bonds is due, but subject to an automatic 30-day grace period.
Centennial Cellular Corp. announced plans to acquire the A-side cellular license for the Michigan-8 rural service area from Allegan Cellular L.P. The RSA covers Allegan County, Mich., which has a population of about 100,000 and borders Centennial’s existing service area in Michigan. Terms of the arrangement were not disclosed.
Everything Wireless, a direct marketer of wireless phones, accessories, pagers and other products, and Roxy.com, an Internet merchandiser of digital home entertainment products and services, announced Roxy.com acquired Everything Wireless.’
Midwest Wireless Communications signed a definitive agreement to acquire CommNet Cellular’s interests in Iowa rural service areas 6, 13, 14, 15 and the northern part of RSA 16. The area borders much of Midwest Wireless’ existing wireless service area and covers about 500,000 people. The markets currently serve about 41,000 subscribers. The deal, which is expected to close in September after regulatory review, is valued at $141 million.
