After Sirius XM prepared itself for bankruptcy, Liberty Media stepped in and invested $530 million into the company for 40% ownership in the company. Sirius XM was on the verge of filing for chapter 11 bankruptcy when rumours started to fly about EchoStar and Dish Network would purchase enough of the company to take it off, in return, restructuring the company by firing management.
The investment into the company is enough to help cover some of the overall debt and more as Sirius XM will need to pay $171 million this week, making a slight damage in the company's total debt of $3.25 billion.
The company could see clear skies ahead if President Obama's stimulus package works and top automotive company's continue to sell vehicles with Sirius XM Satellite Radio pre-installed.
Sirius XM Satellite Radio is a portable commercial free broadcast that offers a wide range of genres in music, as well as a clear signal anywhere in North America. Stocks doubled in the early day of trading for Sirius XM (SIRI) as Liberal Media invested into the company, rising from $0.10 a share to $0.19.
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