Sirius Satellite Radio Canada » Liberty Media

Sirius XM Puts $250 Million in Stocks on Market

Reid — Thu, 20 Aug 2009 16:00:03 +0000

Sirius XM Radio has made industry news this week with the company’s recent decision to put some $250 million in Senior Secured Notes on sale as part of an effort to dissolve the business’ substantial debt.

The Notes (due 2015) are offered to qualified buyers and will be used to help Sirius XM out of the mountainous debt sustained by the company after being saved from buyout by Echostar last February.

Liberty Media currently holds equity in Sirius XM Radio due to the $530 million invested by the latter company as part of a deal that saved Sirius’ from transferring ownership in the last moments of the impending buyout.

[Via Orbitcast]

Liberty Media CEO Joins Sirius Board

Reid — Thu, 26 Mar 2009 16:00:59 +0000

The newest Sirius XM Radio board member to join onto the company is Liberty Media CEO, Greg Maffei. Maffei comes to the board as a powerful influence on the satellite radio giant and took the position yesterday.

Maffei arrives at the position from a long background of executive experience, working previously as the CEO, Chairman and CFO of such companies as Microsoft and Expedia.

He is also the director of Electronic Arts and DirecTV Group. As he took the position yesterday, Adrienne Calderone, Sirius XM’s principal accounting officer announced her resignment and David Frear’s temporary control of the assignment.

[Via Orbitcast]

Sirius XM’s Most Alluring Asset May Be Its $6 Billion in Losses

Reid — Fri, 27 Feb 2009 16:00:22 +0000

A strange point of discussion recently has seen industry observers commenting on the biggest allure behind the Liberty Media takeover of Sirius XM Radio. Whereas many may have assumed that Charlie Ergen sought control over Sirius for more straightforward purposes, signs now point to the former company’s $6 billion in losses as the more enticing feature of the satellite corporation.

By gaining a controlling interest in Sirius XM Radio, Liberty and EchoStar will be able to offset future profits through the tax benefits of the nearly bankrupt company.

The move mirrors John Malone’s previous acquistion of the Atlanta Braves, an action that allowed Liberty to cash out Time Warner interest without incurring large tax payments.

[Via Orbitcast]

SIRI Shares Skyrocket After Liberty Agreement

Reid — Fri, 20 Feb 2009 20:49:43 +0000

As a possible sign that things may truly be improving for Sirius XM, the company has seen a massive increase in stock value for the business. After Liberty Media pumped a life-saving $530M into Sirius, Wall Street reacted with an impressive response.

Tuesday morning saw SIRI stock value increase by an astonishing 111% to 22 cents per share in direct reflection of the company’s positive financial status. More than 32 million shares were traded in the early morning, half of the usual, average per month amount of 65 million shares.

Things appear to be looking up for Sirius XM Radio, good news indeed for fans of the satellite radio giant.

[Via Radio & Records]

Sirus XM and Liberty Media Reach Agreement

Reid — Tue, 17 Feb 2009 16:21:26 +0000

After last week saw waves of press centring around the possible bankruptcy of Sirius XM Radio, a deal between the struggling satellite giant and Liberty Media began to surface. Now the two corporations have reached an agreement that will see Liberty gaining an equity stake in return for bailing Sirius out of its financial predicament.

Liberty Media has agreed to invest an aggregate amount of $530 million toward Sirius XM in exchange for the future return of the funds and 40 percent of SIRI common stock.

Industry observers continue to be impressed by the ingenuity and good fortune of Sirius XM CEO, Mel Karmazin, and, as evidenced here, it is certainly warranted.

[Via Orbitcast]