Globalstar Gets New Financing Deal

MILPITAS, Calif., Aug. 18, 2006/Satnews Daily/ ― Globalstar, Inc. announced on Thursday that it has negotiated an amended and restated debt financing consisting of a $150 million delayed draw term loan and revolving credit facility plus a $150 million incremental term loan or "tack-on" facility.

Globalstar said that if commitments for the incremental term loan are received and the term loans are fully drawn, this represents an additional $100 million in financing over the $200 million debt agreement announced earlier this year.

Combined with the previously committed $200 million in equity capital being invested by affiliates of the Thermo Companies, this completes a financing round of up to $500 million, Globalstar said.

“This revised financing represents a more attractive structure for Globalstar given our cash requirements over the next five years,” said Jay Monroe, chairman and CEO of Globalstar.

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