Dish Network, the struggling satellite-TV company with over $20 billion in debt, is in discussions with a group of creditors to settle a lawsuit over a controversial asset transfer.
According to sources close to the situation, Dish is expected to meet with investors, who are being advised by Lazard Inc. and Milbank, as early as this week. These talks also involve a possible extension of a $2 billion bond due in November, which recently traded at 97.2 cents on the dollar.
Neither Dish nor its legal team from White & Case responded to requests for comment, and representatives from Lazard and Dish’s financial adviser Houlihan Lokey declined to speak.
The lawsuit, filed by a group of creditors in April, demands that Dish reverse a series of asset transfers made earlier this year. Dish, which is shifting from traditional TV services to wireless, had moved some wireless spectrum licenses to a new entity and freed a unit with 3 million TV subscribers from debt obligations to help manage its financial situation.
Recently, some of Dish’s bondholders have offered new financing backed by these assets. Negotiations are still ongoing.
Disclaimer: The views and investment tips expressed by investment experts on Sharepriceindia.com are their own and not those of the website or its management. Sharepriceindia.com advises users to check with certified experts before taking any investment decisions.
