Bankrupt Canadian broadband co. up for bids
W3 Connex, a wireline and wireless services provider just outside of Toronto, is up for sale. The company is now in receivership.
W3 Connex was founded in 2002. It had revenues of $4.5 billion in 2005, but recent figures weren’t provided. Among its assets, W3 is said to have several long-term service contracts with various organizations.
W3 Connex signed on to help build and operate a wireless network, which was originally planned to cover a vast area dotted with smaller communities, as part of Blue Sky Net, an initiative to bring connectivity to rural Canada. The supplier was Alvarion, which in 2006 received a $1 million order for broadband wireless equipment.
According to press reports, W3 on at least one occasion acknowledged overextending itself financially and found itself in debt – at least one supplier said in financial documents that it doubted W3’s ability to pay for ordered equipment.
The receiving company in charge of the sale of W3, the Fuller Landau Group, did not specify a price for the operation. Offers for W3 are due on May 9. Details can be found here .
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