Clearwire shares appear to be getting a boost from a Reuters report asserting that LightSquared, the broadband wireless company backed by investor Philip Falcone’s Harbinger Capital Partners, could run out of cash as soon as Q2 2012. The Reuters report notes that the company made the disclosure in its latest financial statement. The company lost $427 million in the first nine months of the year and may not be able to continue as a going concern unless RuneScape Gold it raises additional capital, the story says.
“There is a need to raise substantial capital beyond the beginning of the second quarter of 2012 in order to have sufficient liquidity,” the company’s statement said, according to the story, which says that the financial statement “paints a fairly bleak outlook” for the company.Falcone’s hedge fund has committed more than $3 billion in equity and loan commitments to the company.A spokesman for LightSquared said the company “has cash through the next buy runescape gold several quarters.”
“If the company fails to obtain the necessary financing on a timely basis, the execution of the company’s business strategy could be materially delayed, costs could materially increase or the company may have to discontinue operations or seek a purchaser for the business or assets,” the company said in its financial statement. The company had revenues of $30 million in the first nine months of the year.The company also faces opposition in Washington over concerns that the company’s broadcast spectrum will cause interference in global ositioning system devices used by the military, the aviation Buy Runescape accounts industry and others.
A break-up or shutdown of LightSquared would be good news for Clearwire, which is trying to reposition itself as a provider of LTE capacity for the major carriers – effectively competing with LightSquared for wholesale customers.It also doesn’t hurt Clearwire that AT&T has dropped its bid for T-Mobile, a move that improves the market position of Sprint, its majority Rs Gold investor.Clearwire this morning is up 13 cents, or 6.4%, to $2.16.
“There is a need to raise substantial capital beyond the beginning of the second quarter of 2012 in order to have sufficient liquidity,” the company’s statement said, according to the story, which says that the financial statement “paints a fairly bleak outlook” for the company.Falcone’s hedge fund has committed more than $3 billion in equity and loan commitments to the company.A spokesman for LightSquared said the company “has cash through the next buy runescape gold several quarters.”
“If the company fails to obtain the necessary financing on a timely basis, the execution of the company’s business strategy could be materially delayed, costs could materially increase or the company may have to discontinue operations or seek a purchaser for the business or assets,” the company said in its financial statement. The company had revenues of $30 million in the first nine months of the year.The company also faces opposition in Washington over concerns that the company’s broadcast spectrum will cause interference in global ositioning system devices used by the military, the aviation Buy Runescape accounts industry and others.
A break-up or shutdown of LightSquared would be good news for Clearwire, which is trying to reposition itself as a provider of LTE capacity for the major carriers – effectively competing with LightSquared for wholesale customers.It also doesn’t hurt Clearwire that AT&T has dropped its bid for T-Mobile, a move that improves the market position of Sprint, its majority Rs Gold investor.Clearwire this morning is up 13 cents, or 6.4%, to $2.16.
