EchoStar has confirmed that it is in discussions with its Dish debt-holders in a move to reduce its financial obligations. The debt-holders control 82 per cent of the debt securities issued by Dish, the EchoStar pay-TV subsidiary.

The agreement being negotiated adds financial flexibility and strategic optionality for the company, including increased flexibility to engage in potential M&A transactions, the company said in its filing.

The debt noteholders and EchoStar also mutually agreed that all pending litigation would be dismissed with prejudice.

EchoStar is restructuring some $25 billion (€28.8bn) in debt, some of which will be re-negotiated and extended until 2030.

The debt moves are designed to stabilise its balance sheet while facilitating a pivot towards its wireless and satellite business, bolstered by potential partnerships such as with SpaceX.

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Categories: Articles, Business

Tags: dish, Echostar, spacex