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  1. #1
    Demian is offline
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    Joined: Oct 2008 Posts: 2,320

    WorldSpace files BK...

    WRSP files BK. Does SIRIUS/XM have any stake in this company? I thought they provided some programming to them...

    Press Release Source: WorldSpace, Inc.

    WorldSpace, Inc. Voluntarily Files for Bankruptcy Protection
    Friday October 17, 3:02 pm ET

    SILVER SPRING, Md.--(BUSINESS WIRE)--WorldSpace, Inc. (NASDAQ:WRSP - News) a leading provider of satellite radio services outside the U.S., today announced it, along with its U.S. subsidiaries WorldSpace Systems Corporation and AfriSpace, Inc. have filed voluntary petitions for reorganization under Chapter 11 of the United States Bankruptcy Code in the United States Bankruptcy Court in Delaware.

    The WorldSpace Board of Directors unanimously determined that Chapter 11 reorganization was necessary for the Company to engage in an orderly process to raise sufficient funds to repay its senior secured and convertible notes by means of either a sale of the Company or its assets, or a recapitalization of the Company.

    WorldSpace will continue to operate its business and manage its assets as a ”debtor-in-possession” under the jurisdiction of the court and in accordance with the applicable provisions of the Bankruptcy Code and the orders of the court. The holders of the Company’s existing senior secured and convertible notes have agreed to provide, subject to the satisfaction of certain conditions, a “debtor-in-possession” financing facility of up to $13 million for a period of 90 days in order to facilitate a sale transaction. The financing facility is expected to enable the Company to continue to pay salaries of critical employees and continue operations which are critical to preserving the value of its core assets through the term of the facility.

  2. #2
    doobz26 is offline
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    Joined: Mar 2008 Location: Michigan Posts: 104
    Now just substitute "Sirius XM" for "Worldspace" and we have ourselves a little glimpse into the future.

  3. #3
    spanyo is offline
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    Maybe Mel wants all those new shares so he can buy them.

  4. #4
    imromo24 is offline
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    that would be 1.4 billion dollars

  5. #5
    billybob is offline
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    From worldspace faq:

    Is 1worldspace Satellite Radio service available in the United States?

    No, But 1worldspace provides four of the original content channel programming on XM Satellite Radio, America's most successful Satellite Radio company. 1worldspace was a founding shareholder of XM, and the 1worldspace proprietary and patented technology is used in each XM receiver. The 1worldspace Satellite Radio Service is available in Asia, Africa, Middle East, and parts of Europe.

  6. #6
    Demian is offline
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    I also found this...does XM still have all those shares? Do they lose money in this Worldspace BK?

    "WorldSpace had total cash and cash equivalents of $83.3 million as of June 30, 2005.

    Since then, WorldSpace has raised an additional net amount of approximately $244 million through an Initial Public Offering (IPO) and an investment by XM Satellite Radio Holdings, Inc. (XM). On August 9, 2005, WorldSpace completed its initial public offering of its Class A Common Stock of 11.5 million shares, raising a total of approximately $222 million in net proceeds for WorldSpace. On July 18, 2005, WorldSpace issued to XM 1,562,500 shares of Class A Common Stock for an aggregate purchase price of $25 million. In connection with this transaction, WorldSpace entered into a global satellite radio cooperation agreement with XM pursuant to which the companies agreed to cooperate on receiver technology, terrestrial repeater technology, original equipment manufacturer (OEM) and third-party distribution relationships, content opportunities and new applications and services. In addition, Gary Parsons, the Chairman of the board of directors of XM, was elected to the WorldSpace board of directors. In connection with this transaction, WorldSpace also granted to XM a performance-based warrant to purchase 1,785,714 shares of Class A Common Stock."

  7. Ad Fairy Senior Member

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