UBS Warburg has also been engaged by NextWave to serve as the company’s financial advisor and will assist the company in consummating its plan of reorganization.
NextWave entered bankruptcy protection after it was unable to pay the $4.7 billion it bid for 90 wireless licenses in 1996. The FCC repossessed the licenses but an appeal court has subsequently ruled that the FCC repossessed the licenses illegally. The FCC then appealed that decision and the case will move to the Supreme Court.
NextWave will utilize the financing to support the deployment of its third-generation CDMA2000 wireless network.
On August 6, 2001 NextWave filed and announced its plan of reorganization, which is now pending before the Federal Bankruptcy Court of the Southern District of New York. This latest announcement is in connection with the equity and debt financing committed to fund NextWave’s plan of reorganization, and is subject to various terms and conditions, and to NextWave’s successful consummation of its plan of reorganization.
