NEW YORK — LightSquared Inc. on Monday filed for bankruptcy, saying it will seek to resolve the concerns of U.S. regulators who thwarted the company’s plan to deliver high-speed wireless to as many as 260 million people.
LightSquared, based in Reston, Va., listed assets of $4.48 billion and debt of $2.29 billion as of Feb. 29 in a Chapter 11 filing Monday in U.S. Bankruptcy Court in Manhattan. The company’s backer, Philip Falcone, and the current management team will remain with the company.
Harbinger Capital Partners, Falcone’s New York-based hedge fund, had invested about $3 billion in LightSquared and owned about 74 percent of it as of Jan. 27.
Bondholder Carl Icahn sold his $250 million in LightSquared debt holdings, Reuters reported May 6. Icahn received about 60 cents on the dollar for the holdings May 3, after originally paying about 40 cents on the dollar months earlier, Reuters said. Dish Network Corp. Chairman Charlie Ergen acquired $350 million of the debt, the New York Post reported. Bloomberg News
