8-KOther EventsExhibits & Filings

Globalstar, Inc. 8-K Report, Corporate Update (Feb 1, 2019)

Filed February 1, 2019For Securities:GSAT

Summary

Globalstar, Inc. filed an 8-K on February 1, 2019, primarily to update investors on a previously disclosed shareholder derivative action. The company announced that a settlement has been reached between all parties involved in the lawsuit, which was filed in the Delaware Court of Chancery. This lawsuit, captioned Mudrick Capital Management, LP, et al. v. Monroe, et al., involved claims against Globalstar, its Board of Directors, Thermo Companies, Inc., and certain members of management. While the settlement has been agreed upon by the parties, it is still subject to court approval. A hearing has been scheduled for April 1, 2019, in the Delaware Court of Chancery to determine whether the proposed settlement will be approved. Investors are advised that any objections to the settlement must be filed with the Court by March 22, 2019. The company will make the Notice of Pendency and Proposed Settlement, the Settlement Agreement, and the Plaintiffs' complaint available on its website.

Key Highlights

  • 1Globalstar, Inc. announced a settlement has been reached in a shareholder derivative action filed in the Delaware Court of Chancery.
  • 2The lawsuit involved claims against the Company, its Board of Directors, Thermo Companies, Inc., and certain management members.
  • 3The settlement agreement was entered into by all parties on December 14, 2018.
  • 4Court approval is still required for the settlement to become final.
  • 5A hearing to determine the approval of the proposed settlement is scheduled for April 1, 2019.
  • 6Investors wishing to object to the settlement must file written objections with the Court by March 22, 2019.

Frequently Asked Questions

The main purpose of this 8-K filing was to inform investors that Globalstar, Inc. has reached a settlement agreement to resolve a shareholder derivative lawsuit previously filed against the company and its directors and management.

Not yet. While the parties have agreed to a settlement, it is contingent upon approval by the Court of Chancery of the State of Delaware. A hearing is scheduled for April 1, 2019, to decide on this approval.

Investors who wish to object to the proposed settlement must file their objections in writing with the Court of Chancery of the State of Delaware no later than March 22, 2019. Specific requirements for filing objections are detailed in the Notice of Pendency and Proposed Settlement.

More information, including the Notice of Pendency and Proposed Settlement, the Settlement Agreement, and the Plaintiffs' complaint, will be made available in the 'Investor Relations' section of Globalstar's website (www.globalstar.com).