That of course. Brings us to Globalstar. If this company didn't have "bad luck", they would have no luck at all.
Still no launch contract to be seen. SpaceX/Starlink wants to "share GSAT's MSS spectrum". Globalstar needs to arrange financing for about $600MM for in Satellites, Launch Services and Insurance. Yeap! This one has that (EDC) Export Credit via the Canadian Govt. smell all over it. But, the debt markets look horrible. 1YR LIBOR now 5.3%, and a distressed debt deal like this would likely demand 600 to 700 basis points LIBOR+. However, this would just cover construction. Without a launch contract, who knows how much money they will need to raise from the debt markets. Again, at a rate likely LIBOR+ 600 to 700. Their satellite manufacturer has agreed to extend the initial payment deadline from last August. But, we are now in Oct. +40 days post-Apple "satellite connectivity" announcement. How long before the "stop work order"? Obviously, the folks in Covington are non-to-happy about the equity price "post-announcement". Has anyone actually seen Apple say the words "Globalstar"? Obviously, an elevated equity would have made the financing much easier. But, the winds of the "Perfect Storm" seem to continually swirl around Globalstar. The insider "Form 4's" have all dried up. If they strike out at (EDC) Canada, then raising $600MM in the debt markets will be ugly. Other satellite operators like Telsat Canada has already trimed 30% of the satellites from their planed Lightspeed constellation shaving off 100 satellites, down to only 198 now. Telsat blamed supply chains and inflation for decreasing the number of satellites. Yet, Telsat, like GSAT still have no launch contracts. If SpaceX denies the business, then their choices for getting to orbit get considerably more expensive.
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