Worldspace sale today
Chris Forrester 22-02-2009

Pay-radio broadcaster Worldspace has its Chapter 11 auction sale scheduled for today, Feb 23. The event takes place at 10am local time in the offices of Shearman & Sterling LLP, in New York.

Qualified bids actually had to be submitted in writing last week (by Feb 1Cool together with the financial background to the bidding company and other relevant documents. The auction takes place only where there are rival bidders for the same specified asset.

The final stage is before the judge in case, Judge Peter J Walsh, and is scheduled to take place this Wednesday, on Feb 25. This is a re-run of an earlier sale process, which was abandoned because there were no qualified bidders, according to Court documents.

Last Friday, Feb 20, saw a flurry of Court Motions filed in the case. Most were routine, but one from New Satellite Radio SrL, already a creditor of Worldspace and in essence representing Worldspace’s partners in their European operations, which argued (not for the first time) that Worldspace was selling assets it was not entitled to sell. New Satellite Radio wanted sight of the bids submitted, “because [Worldspace] are seeking to sell Non-Debtor assets for which NSR has an indirect interest and which are vital to its business.”

The Emergency Motion further argued that despite it not bidding for the distressed assets, it should still be able to examine the submitted bids.