Satellite radio service Worldspace has said it has reached agreement with holders of its $155 million (€114.54) convertible notes to redeem $50m in cash and renegotiate the terms of the remaining notes. It means that note holders will no longer be able to require Worldspace to redeem the convertible notes on December 31, 2007.
Worldspace recently missed the deadline for the filing of its December 31, 2006 accounts with the Securities and Equities Commission. The company now says it will publish its 10K form on April 17.
Noah Samara, Worldspace’s chairman and chief executive officer said he new agreement would give the company the flexibility of what he described as the “streamlined 2007 plan”. This includes the launch of the proposed DARS service in Italy – a plan that will also see the demise of Worldspace’s subscription radio service in much of Europe – before making a return to the market with a request for more cash.
