BusinessBusiness RecoveryGlobal Crossing takeover collapses

Global Crossing takeover collapses

Bankrupt telco Global Crossing conceded yesterday (Sunday) that its proposed takeover by Hutchison Whampoa and Singapore Technologies Telemedia has collapsed, but the company said it was involved in talks with other potential buyers.

After four months of negotiations, talks broke down after a price could not be agreed.

The joint offer for 79% of the firm’s assets came to $750m (£514m), but creditors were unimpressed, claiming that Global Crossing’s assets had a total value of around $22.4bn (£15.3bn).

Global Crossing filed for Chapter 11 bankruptcy protection in January, becoming the fourth largest bankruptcy in US history.

John Legere, Global Crossing’s chief executive officer was disappointed the deal could not be completed.

‘While we are disappointed that an agreement could not be reached at this time, we look forward to working with Hutchison Whampoa and Singapore Technologies Telemedia as the auction approaches,’ he said in a statement.

The company is in talks with other “interested potential investors,” he added.

Related Articles

Carillion CFO blew whistle over 'sloppy accounting' months before collapse

Business Recovery Carillion CFO blew whistle over 'sloppy accounting' months before collapse

3m Alia Shoaib, Reporter
Toys R Us UK and Maplin enter into administration after failing to secure buyers

Business Recovery Toys R Us UK and Maplin enter into administration after failing to secure buyers

3m Alia Shoaib, Reporter
How to avoid a Carillion collapse

Business Recovery How to avoid a Carillion collapse

4m Russell-Cooke
Carillion collapse: The week so far and industry reaction

Business Recovery Carillion collapse: The week so far and industry reaction

4m Emma Smith, Managing Editor
Kingston Smith & Partners appointed trustees in bankruptcy of ex-Newcastle United footballer

Business Recovery Kingston Smith & Partners appointed trustees in bankruptcy of ex-Newcastle United footballer

4m Emma Smith, Managing Editor
Carillion: PwC appointed as special managers – what happens now?

Business Recovery Carillion: PwC appointed as special managers – what happens now?

4m Emma Smith, Managing Editor
Investment firm acquires Avon Steel Company Limited

Business Recovery Investment firm acquires Avon Steel Company Limited

5m Emma Smith, Managing Editor
Manchester law firm enters into administration

Business Recovery Manchester law firm enters into administration

5m Emma Smith, Managing Editor