A $400 million offer to acquire Hawaiian Telcom Inc. lacks adequate financing, will increase debt and will likely prolong the local phone company’s bankruptcy proceedings, Hawaiian Telcom said

In a bankruptcy court filing Friday, Hawaiian Telcom said it opposes Sandwich Isles Communications Inc.’s plan to reorganize the phone company because Sandwich Isles doesn’t have the expertise to run a statewide telecommunications network and lacks the necessary state and federal permits to do so.
“Among other things, Sandwich Isles doesn’t have any committed financing to fund the proposed acquisition or a credible strategy of obtaining it, as its only proposed financing is sheer speculation,” the company said.
“Sandwich Isles has the support of no one.”
Hawaiian Telcom has a competing, $460 million reorganization plan, which would convert the phone company’s mountainous debt into stock and provide $300 million in new financing.
In its filing, Hawaiian Telcom said its creditors committee and its secured lenders and union representatives do not support Sandwich Isles’ plan.
The company added that the Sandwich Isles wants to terminate the pension plan for unionized workers.