WASHINGTON-NextWave Telecom Inc. has requested another extension before filing its reorganization plan, but told the court Tuesday that it would like to emerge from bankruptcy by late January.
The latest extension request would have NextWave filing its reorganization plan by Nov. 12 and then soliciting comments until Jan. 25, 2005.
NextWave had told the bankruptcy court Oct. 19 that it would file its plan on Nov. 3 but now it says it needs until Nov. 12 to complete the necessary documentation.
Anyone who objects to the extension request has until Nov. 3 to let the court know.
NextWave controls PCS spectrum licenses covering 23 markets and valued at nearly $3 billion.
The company has consistently pushed back the deadline for detailing its reorganization strategy. NextWave was scheduled to detail its plans Oct. 22 after it received a 10-day extension Oct. 12.
Following that extension, several news outlets said NextWave had received purchase offers from Verizon Wireless, the nation’s largest carrier. Neither company will comment on those rumors.
NextWave won a long and involved legal battle with the Federal Communications Commission almost two years ago. Since then NextWave has been selling its assets, all the while maintaining it still plans to go forward with its business plan to lease its spectrum to carriers that want to use it to offer wireless data services.
Recently, NextWave held a private auction of three licenses. It is scheduled to complete the sale of these licenses Friday. NextWave is selling its New York license for $930 million to Verizon Wireless and its Tampa-St. Petersburg-Clearwater and Sarasota-Bradenton, Fla., licenses to MetroPCS for $43.5 million.
Verizon Wireless had previously bid on a number of NextWave’s licenses during the FCC’s attempt to re-auction those licenses in early 2001, including a number of licenses still controlled by NextWave covering Boston, Denver, Los Angeles, New York, Philadelphia and Washington, D.C. With Verizon Wireless’ plans to deploy CDMA2000 1x EV-DO high-speed data services, it’s expected the carrier would still be interested in acquiring the additional spectrum headroom.
But the value of those licenses has plunged during the past several years, and Verizon Wireless has garnered a reputation through deals with Northcoast Communications L.L.C. and Qwest Communications International Inc. as being able to acquire much-needed capacity at below so-called market value.
For its part, NextWave last year raised $1.4 billion by selling 34 PCS licenses to Cingular Wireless L.L.C.
