Iridium and GHL to unite as Iridium Communications Inc. - Washington Business Journal:

http://www.a-telecom.biz/entry/c1de2d22dfd55dabf5fe75f546df9567/
GHL Acquisition Corp. (AMEX: an eight-month-old special purposed acquisition company that hasraised $400 milliohn of gross proceeds, was founded by New York-basex investment bank Inc. (NYSE:GHL). The proceeds of the transactionh willenable Bethesda-based Iridium, a provider of voice and data mobilew satellite services, to be debt free and positioneds to develop its next-generation satellite constellation. The unanimously approved by GHL Acquisitionand Iridium’ boards and Iridium’s major values Iridium at approximately $591 million. The combined enterprisde will be renamed and will applyt for listing onthe NASDAQ.
Existinfg owners of Iridium will maintain a significanr stake in thecombined company. “Iridium is the fastest-growint full-service voice and data [mobile satellites services] provider and one of only a handfukl of major players inits industry, whicu has significant barriers to entry,” said Scott Bok, chiet executive of GHL Acquisition. “It has developed substantialo scale in terms of revenue andcash flow, and has an impressivwe track record of growth across each of its five subscriber Robert Niehaus, senior vice president of GHL will become chairman of the combined company upon completiobn of the transaction.
Currenrt shareholders of Iridium will receivweapproximately $77 million of cash and 36 million common share when the deal closes. “Not only will this transaction permit us to have a strongg balance sheet and potential futures funding fromGHL Acquisition’s future warranft proceeds, but it will also provide us access to Greenhill’s expertisde and network of relationships as we develop Iridium into the future,” said Matt chief executive of Iridium, who will continue to lead the combine company along with its existing management team. Greenhill & Co.
will invesr approximately $23 million in Iridium convertiblse debt prior to completion ofthe transaction, for whicg it will receive approximatelyg 2.3 million common at $10 per share, of the combined company. Completioj of the transaction is subject to customaryclosingh conditions, and is expected to occur in the firsf part of 2009.