Hiber Withdraws Astrocast Applications; Deal Collapses

Since its planned purchase by Astrocast fell through, Hiber asked to withdraw FCC applications tied to that, it told the International Bureau Monday. Last month Astrocast told investors the acquisition announced in May (see 2205310003) was terminated by reaching the Nov. 30 long stop date. "Due to challenging market conditions for fundraising the last six months, the liquidity for the Company has been tight," Astrocast said. It said it had been funding existing operations through convertible notes and it "will continue to assess strategic alternatives for strengthening its financial position on a long-term basis." Astrocast said because the Hiber deal fell through, Hiber "is claiming an obligation for Astrocast to grant a convertible loan" of $1.57 million supposedly due pursuant to the Astrocast/Hiber agreement. Astrocast said Hiber is referring the convertible loan grant to mediation and dispute resolution in arbitration under the provisions of the agreement. Astrocast said it disputes the Hiber claim.