Starry Group cancels auction after receiving no other qualified bids

By Sarah Lizee

Olympia, Wash., April 24 – Starry Group Holdings, Inc. canceled an auction previously scheduled for April 24, according to a notice filed with the U.S. Bankruptcy Court for the District of Delaware.

As previously reported, under a restructuring support agreement with prepetition lenders, the company anticipates closing on a debt-for-equity restructuring with the lenders but would first conduct a marketing and auction process to identify any other potential bidders for its business.

Under the bid procedures, the lenders set a minimum reserve price of $170 million.

The bid deadline was 5 p.m. ET on April 20.

The debtors said Monday that they received only one qualified bid before the deadline, which was a qualified bid by the lenders submitted for court approval in the event that the debtors’ Chapter 11 plan is not consummated.

A sale hearing will be scheduled subsequently, if needed.

Starry is a Boston-based internet service provider. The company filed bankruptcy on Feb. 20 under Chapter 11 case number 23-10219.

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