An entity controlled by Dish Network Chairman Charlie Ergen was selected as the lead bidder in an auction for LightSquared's spectrum assets with a $2.2 billion bid, as a bankruptcy court judge set the dates and rules for the auction of LightSquared's assets. Meanwhile, an investor has sued Ergen for his role in using a hedge fund to buy LightSquared's debt, which has made him LightSquared's biggest creditor with more than $1 billion in secured debt.
Dish Network Chairman Charlie Ergen did not get control of Sprint or Clearwire this spring. However, from the looks of things now, he seems to be on a glide path to gain control over bankrupt LightSquared's spectrum.
Sprint CFO Joe Euteneuer said the carrier remains open to using its multi-mode base stations to host another company's spectrum, provided such a deal was beneficial to both parties.
The FCC said in a public notice that it will start an auction of the 1900 MHz PCS H Block on Jan. 14, 2014, its first major spectrum auction since 2008. The auction is likely to draw interest from Sprint, while Dish Network has signaled it will likely not participate.
Dish Network filed a new proposal with the FCC that the company said would allow it to deploy an LTE network across its 700 MHz E Block and AWS-4 spectrum holdings. Dish is asking the FCC to set a new buildout deadline on its 700 MHz spectrum that would require the company to cover 40 percent of the population covered by its licenses by 2017 and 70 percent by 2021.
Dish Network Chairman Charlie Ergen held out hope that Dish could partner with erstwhile acquisition target Sprint and said T-Mobile US is probably the last wireless remaining partner Dish could pursue a merger or acquisition with.
Dish Network indicated it does not plan to "meaningfully participate" in the FCC's upcoming auction of 1900 MHz PCS H Block spectrum, which could have large implications for Sprint and its competitors.
AT&T previously passed on an opportunity to strike a deal with no-contract wireless carrier Leap Wireless but was ultimately the only bidder for the company and wound up paying 58 percent more than it had initially offered, according to a securities filing.
Dish Network Chairman Charlie Ergen could make hundreds of millions of dollars in personal profit if his bid to acquire LightSquared's spectrum assets in bankruptcy succeeds, according to a Wall Street Journal report.
A group of LightSquared's lenders filed a reorganization plan in bankruptcy court today that would largely follow the lines of Dish Network Chairman Charlie Ergen's $2.2 billion bid for control of LightSquared's spectrum holdings.