Fixed wireless access (FWA) provider Starry Group Holdings, Inc., has emerged from Chapter 11 bankruptcy as a smaller, more narrowly focused privately held company.
The implementation of Starry’s reorganization plan completes a process that began in February when the company filed voluntary petitions for bankruptcy in U.S. Bankruptcy Court for the District of Delaware and entered into a restructuring support agreement with lenders holding the company’s debt.
The court accepted the reorganization plan on May 26. Starry says it has eliminated and restructured its debt and gotten an infusion of exit funding. Starry also has reduced its workforce and refocused its efforts on five key markets: Boston; New York City; Washington, DC; Denver and Los Angeles.
The newly privatized company will immediately stop trading on the over-the-counter (OTC) market. CEO Alex Moulle-Berteaux and Chet Kanojia, co-founder and former CEO, have become members of the Starry board of directors.
“Today, as we exit this process, Starry is a stronger company. We are more operationally efficient and laser-focused on driving this business to profitability.” Moulle-Berteaux said in a prepared statement.
“I’m immensely proud of all of our employees, who kept their focus on our customers, our network and on delivering an internet service experience that far outshines our ‘big internet’ competitors. I’m excited for this next phase of company growth and success for the company.”
The company says that it will expand its Starry Connect program, which supports families in public and affordable house communities, and continue participating in the FCC’s Affordable Connectivity Program (ACP).
In June, Starry appointed Moulle-Berteaux, co-founder and former chief operating officer, as its new CEO. According to the company, it experienced an almost 60% year-over-year customer growth between 2020 and 2022. Its stated mission is to displace cable companies in multidwelling units with its fixed wireless offering.
