(Updates with details about agreement with Sprint in seventh paragraph.)
Jan. 3 (Bloomberg) -- LightSquared Inc., billionaire Philip Falcone’s wireless broadband venture, named Marc Montagner chief financial officer, hiring an executive with a background in dealmaking as it seeks to clear hurdles to start operations.
Montagner replaces Michael Montemarano, who left the company in November, said Amy Rosenberg, a spokeswoman for LightSquared. Montagner, 50, previously worked as executive vice president of strategy, development and distribution at SkyTerra Communications Inc., which was acquired by Falcone’s Harbinger Capital fund and became the basis of LightSquared.
LightSquared, based in Reston, Virginia, is seeking federal approval to start service and faces challenges from global- positioning system device makers that say its signals disrupt GPS navigation by cars, boats, tractors and planes.
The company has said it is adequately funded through the government review period. Credit Suisse Group AG analyst Jonathan Chaplin has estimated that the company will need to raise more cash by April.
Montagner also was a managing partner at the merger advisory group Dupont Circle Partners, and worked as the co-head of the global telecommunications, media and technology merger group of Banc of America Securities. He also was a senior vice president in charge of mergers and acquisitions at Sprint Nextel Corp., where he was responsible for deals including the purchase of Nextel Communications Inc.
The government approval LightSquared is seeking is also a condition of a network-partnership agreement the company struck with Sprint in July.
Last week, Sprint granted LightSquared a one-month extension, giving the company until Jan. 31 to obtain the approval, said Scott Sloat, a Sprint spokesman. Under the agreement, Sprint will build and operate LightSquared’s so- called fourth-generation network for 11 years in exchange for $9 billion in payments and an additional $4.5 billion in service credits.
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