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Seward & Kissel LLP Advises State Court Receiver in Expedited Sale of the Assets of RAM Telecom International, Inc. to Secured Lender

Written by Robert J. Gayda | Jan 04, 2024

RAM Telecom International, Inc. (“RAM-T”), co-owner and operator of the Southeast Asia-U.S. submarine cable system that connects Indonesia, the Philippines, Guam, Hawaii, and the continental United States, was placed into receivership proceedings in October after defaulting on its secured facility agreement with Poseidon International Connectivity II, LLC (the “Secured Lender”), represented by Milbank LLP.  Michael Wyse, of Wyse Advisors LLC, was appointed as the receiver (the “Receiver”) by Vice Chancellor Sam Glasscock III of the Delaware Chancery Court (the “Court”). 

With the assistance of Seward & Kissel (“S&K”) and Young Conaway Stargatt & Taylor, LLP as local counsel, the Receiver undertook a marketing and sale process on an expedited timeline to maximize the value of RAM-T and allow the specialized business to be sold as a going concern.

On December 19th, the Receiver obtained Court approval of the sale of substantially all of RAM-T’s assets to the Secured Lender for a credit bid of $45,000,000 and the assumption of certain assumed liabilities.  S&K continues to work with the Secured Lender and its counsel to ensure a smooth sale closing, including through obtaining regulatory approval of the transaction by the U.S. Federal Communications Commission and other governmental authorities.

The Receiver team was led by Robert J. Gayda and Andrew J. Matott in New York, with Sean M. Beach, James P. Hughes, Jr. Ryan P. Newell, and Leah E. Burcat in Delaware.