The WorldSpace Chapter 11 bankruptcy is over. The news came via a 150-page document from the Delaware Bankruptcy Court. A company controlled by Noah Samara, the founder and CEO at WorldSpace, successfully bid $25,300,000 in cash in an auction for Worldspace’s pay-radio assets.
The agreement covers all the assets of WorldSpace, including its satellites, patents, and ground control facilities, and subsidiary companies where they are not involved in separate bankruptcy proceedings. WorldSpace Europe, WorldSpace UK and WorldSpace Europe Holdings are all involved in separate bankruptcy actions.
on Mar 10th, 2009 at 13:14
I was not able to open the link for some reason, but one wonders what the point of Noah Samara buying the assets is. If anyone has shown they’re not able to figure out what to do with Worldspace, it must be him. What is he going to do differently now that he owns the assets? I suppose he won’t try and take the company public again…that worked out real well last time, especially for shareholders.
on Mar 13th, 2009 at 20:26
Worldspace in South Africa lives on-lets hope that the UK stations will return in due course-TalkSport and Caroline
on Mar 19th, 2009 at 19:27
Rumour has it a new music station to begin on the Afrstar south beam shortly
on Mar 19th, 2009 at 20:49
Rapid TV News reports… A Delaware Bankruptcy Court hearing took place late yesterday (March 19) to confirm the successful Worldspace bidder. At press time that looked likely to be a company controlled by Worldspace’s founder & CEO, Noah Samara, which submitted its $28m cash bid two weeks ago. However, there’s also the matter of a nasty Class Action that’s been rumbling on for some years against Mr Samara and Worldspace.
The Class Action asks Worldspace, Mr Samara and others, for damages resulting from “violations of certain Federal securities laws, and the Securities Act 1933” and relating to Worldspace’s IPO, and the IPO Prospectus.
On March 16 the Defendants in the action (Worldspace, Mr Samara and others) asked that the Class Action be “stayed” pending the completion of the Worldspace sale process. In essence the Class Action alleges that Samara and others inflated Worldspace’s subscriber data prior to the August 4 2005 IPO.
In a Motion before the Bankruptcy Court March 18, the Lead Plaintiff in the Class Action asked the Court that it order that no Worldspace documents be destroyed, abandoned or otherwise rendered unavailable following the transfer to its new owners. The Class Action would then continue.