EchoStar, the Charlie Ergen-backed business that owns the Dish US pay-TV operator, says that negotiations which have taken place over the past weeks with certain debt-holders and which would have led to a financial reconstruction have failed to reach agreement.

The negotiations were primarily with members of a group represented by Milbank. Despite this setback, EchoStar says it remains active in discussions with various parties to explore possible financing transactions. The company is seeking new financial avenues to secure the financial stability and enable future growth.

However, there is some good news for the business. The FCC on September 23rd approved EchoStar’s application for more time to extend its 5G ‘Boost Mobile’ network. The extension means that Boost Mobile has until the end of the year to cover 80 per cent of the US population with its 5G service.

According to EchoStar, the updated framework will allow the company to “optimise and enhance its coast-to-coast buildout of the world’s first cloud-native Open RAN 5G Boost Mobile network”.

Additionally, the company said that smaller wireless carriers and Indian Tribal nations will also be able to lease EchoStar spectrum licences in extension areas where the company has not yet deployed.

EchoStar’s rumoured merger plans with rival DirecTV have yet to materialise, yet its share price has remained solid. On September 24th its shares closed at $25.33, up 7.7 per cent and a 43.4 per cent rise over the past year.

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Categories: Blogs, Business, Inside Satellite

Tags: dish, Echostar