It's Official: Liberty/DirecTV Bail Out Sirius XM


[ Follow Ups ] [ Post Followup ] [ chicagomedia.org :: Chicago Radio, TV, All Media Discussion Forum ]

Posted by chicagomedia.org on February 17, 2009 at 10:15:38:

Liberty to loan Sirius $530 mln, get 40 pct stake

Tue Feb 17, 2009 8:28am EST

NEW YORK, Feb 17 (Reuters) - Liberty Media has agreed to $530 million in loans to Sirius XM Radio Inc, saving the satellite radio provider from possible bankruptcy and giving Liberty a 40 percent equity stake.

Under the agreement, Liberty, controlled by media mogul John Malone, would offer loans to Sirius, a portion of which will help pay $171.6 million in debt that was due on Tuesday.

Had Sirius been unable to make that payment it said it would have had to seek bankruptcy protection.

Once the loans are completed, Sirius XM will issue Liberty 12.5 million shares of preferred stock convertible into 40 percent of the common stock of Sirius XM.

Liberty expects that Malone and Greg Maffei will join the Sirius XM Board of Directors.

(Reporting by Franklin Paul, editing by Dave Zimmerman)


Follow Ups:



Post a Followup

Name:
E-Mail:

Subject:

Comments:

Optional Link URL:
Link Title:
Optional Image URL:



Enter verification code:


[ Follow Ups ] [ Post Followup ] [ chicagomedia.org :: Chicago Radio, TV, All Media Discussion Forum ]


chicagomedia.org message board is copyright chicagomedia.org". all rights reserved.
postings are the opinions of their respective posters and we disclaim any responsibility for the content contained.
(register a domain name, host your web site, accept credit cards, get a unix shell account)