Investing in telecommunications projects raises legal considerations that often go beyond the scope of traditional corporate financings. The size of the potential investment, the risks associated with various systems (specifically satellite systems), the heavy regulation (dependent on the type of project), and the range of services often provided by telecommunication entities all promote an interdisciplinary approach to telecommunications legal services.
For these reasons, Vinson & Elkins' telecommunications regulatory attorneys are supported in many instances by experienced corporate transactions attorneys. Working together, our telecommunication and corporate transactions attorneys ensure that corporate structures comply with regulatory requirements, and that the regulatory regime is flexible enough to promote viable business opportunities for our clients.
We have represented a number of companies implementing (or seeking to implement) global telecommunications networks. One such company proposed to launch and operate a low-earth orbit, mobile satellite system. Another raised $980 million in simultaneous equity, high yield debt and syndicated bank debt offerings to finance the construction of an undersea fiber optic cable from North to South America. Still another client sought to develop fiber optic networks throughout the world, and we assisted this client with joint venture and joint development agreements, as well as fiber swaps and IRU agreements.
In each of these cases, our corporate, regulatory and international tax lawyers have worked closely with each company's management to develop international corporate structures that facilitate the implementation of their respective plans. This has involved structuring the companies to minimize taxation, promote financing and provide for ease of organizational administration.
In addition to this financing and structuring work, our lawyers have assisted these clients with the development of corporate contracts with key suppliers and customers. These corporate and taxation efforts, combined with the representation provided by our regulatory attorneys, ensure that the corporate and commercial work conforms to--and best takes advantage of--the U.S., foreign and multinational regulations affecting these businesses.
Other notable transactions in this area have included representing privately held companies in their bids and negotiations for government-owned communications entities in Argentina, Russia, Turkey and Mexico, and advising clients on corporate issues concerning sale, purchase or sale/leaseback agreements of satellites or transponders.