TerreStar Networks Inc. plans to raise $450 million in funding through the sale of senior secured discount notes due in 2015, TerreStar announced Jan. 29.

TerreStar, a majority-owned subsidiary of Motient Corp., intends to use about $72 million of its net proceeds from the offering to repay debt due to Motient, with the remainder reserved for working capital and general corporate purposes, including the buildout of TerreStar’s integrated satellite and terrestrial network.

Motient will use cash on hand and the money from TerreStar to repay its senior notes due in 2007.