Open Range Communications looks to convert bankruptcy case on Feb. 24

By Caroline Salls

Pittsburgh, Feb. 6 - Open Range Communications Inc. has asked the U.S. Bankruptcy Court for the District of Delaware to convert its Chapter 11 bankruptcy case to Chapter 7, effective 5 p.m. ET on Feb. 24, according to a Monday court filing.

After its stalking horse bidder pulled an offer to buy the company's assets, Open Range said it shut down its network and stopped providing service to customers.

Substantially all of the company's assets were subsequently liquidated at auctions held in January.

Now, Open Range said its wind-down process is nearly complete.

According to the motion, the company explored the feasibility of proposing a Chapter 11 plan, including a possible settlement of OEP Open Range Holdings, LLC and U.S. Department of Agriculture, Rural Utilities Service claims.

However, Open Range said "there was no reasonable prospect for achieving a settlement on the OEP claims or the RUS claims."

As a result, the company said case conversion is "the best and only way forward."

A hearing is scheduled for Feb. 23.

Open Range is a Greenwood Village, Colo.-based broadband company that filed for bankruptcy on Oct. 6. Its Chapter 11 case number is 11-13188.

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