LITTLETON, Colo. — EchoStar has canceled part of its offer to refinance Dish Network debt and is leaving billions of dollars it owes, including some coming due this year, in place.
The Englewood-based satellite technology and mobile phone business (Nasdaq: SATS) this week withdrew its proposal to issue $3 billion debt notes to swap for Dish Network debt that’s maturing soon.
The company is still moving ahead with a different offer to replace $4.9 billion of zero-interest debt notes. Holders of those notes have until Feb. 12 to exchange them for 10% interest notes coming due in 2030.
EchoStar's withdrawn refinancing offer aimed to push off repayment this year of up to $1 billion worth of Dish Network debt in notes carrying 5.875% interest.
The withdrawn offer also sought to replace debt notes coming due between 2026 and 2029 which carry interest rates between 5.125% and 7.75%.
Up to $3 billion in new debt in their place was to be issued. It would’ve been owed specifically by a newly created subsidiary with 3 million Dish Network’s satellite TV subscribers.
> Read the full story at the Denver Business Journal.
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