Intelsat Jackson Creditors Poised for Gains Ahead of C-Band Sale

Intelsat SA’s so-called “Jackson” creditors could be best-positioned to benefit from the company’s upcoming satellite spectrum sale because they’ve stepped up to finance its bankruptcy loan.

The move puts holders of those bonds in line to benefit from federal payments tied to an upcoming auction of airwaves controlled by Intelsat. While the auction is likely to yield proceeds much less than the company originally hoped -- one of the reasons it went bankrupt -- the Jackson creditors strengthened their claim on payments Intelsat stands to collect for handing over the spectrum.

The satellite operator, which filed for court protection ...