SAN DIEGO--(BUSINESS WIRE)--NextWave Wireless Inc. (OTCQB: WAVE) (the “Company” or “NextWave”) today announced that it has entered into an Amendment and Limited Waiver (the “Amendment”) to its first, second and third lien note agreements. The Amendment extends the maturity of the first lien notes to December 31, 2012, the maturity of the second lien notes to January 31, 2013 and the maturity of the third lien notes to February 28, 2013.
The Amendment permanently waives past events of default under the agreements governing the Company’s secured notes, which defaults were previously the subject of the Forbearance Agreement dated as of August 1, 2011, as described in detail in the Company’s Current Report on Form 8-K filed with the Securities and Exchange Commission (the “SEC”) on August 2, 2011.
The Company will continue its efforts to sell its wireless spectrum assets to repay its secured notes and may seek additional financing or a refinancing transaction depending on future market conditions and the timing of any such spectrum sales, which remain subject to many factors beyond the Company’s control. As disclosed in the Company’s filings with the SEC, the Company’s capital structure requires that it successfully monetize most of its wireless spectrum assets for net proceeds substantially in excess of its cost basis in order to retire its secured debt, which will total $1,021 million in aggregate principal amount on December 31, 2011, and will increase over time due to the accrual of payment-in-kind interest.
About NextWave Wireless
NextWave Wireless Inc. is a wireless technology company that manages and maintains wireless spectrum licenses.
Note Regarding Forward-Looking Statements
This press release contains “forward-looking statements” for purposes of the Private Securities Litigation Reform Act of 1995 that involve risks and uncertainties. There can be no assurances that forward-looking statements will be achieved, and actual events or results could differ materially from the events or results predicted by such statements. Important factors that could cause actual events or results to differ materially are discussed in greater detail in the filings of NextWave with the SEC. All such documents are available through the SEC’s website at www.sec.gov. NextWave makes no commitment to update any forward-looking statements in order to reflect subsequent changes in events or circumstances except as may be required pursuant to applicable law.