The Globe and Mail reports in its Wednesday edition that lenders to Ottawa-based Telesat have proposed a new recapitalization plan ahead of a looming debt-repayment deadline. The Globe's Alexandra Posadzki and Marieke Walsh write that Telesat, which is building a constellation of low-Earth-orbit satellites dubbed Lightspeed, has $1.71-billion (U.S.) in debt coming due Dec. 6, with another $438-million (U.S.) of debt maturing in 2027. The debt was issued by a subsidiary and is tied to the company's fleet of geostationary satellites, an older business division that is in decline. Telesat has said in filings that its cash flow is insufficient to meet all of its debt obligations. The lenders -- including Silver Point, GoldenTree and Sound Point -- recently put forward a second proposal to the company. Unnamed sources say that under their latest proposal, which was presented to Telesat on Oct. 14, the lenders would receive 100 per cent of their principal, plus accrued interest, through a new $1.7-billion equity rights offering and a $1.5-billion loan. The proposed equity rights offering at $31.50 could reduce the company's earnings per share and weigh on the stock price. Telesat shares closed down $6.26 at $57.47 Tuesday.