Wireless communications company Ligado Networks hired the services of investment bank Moelis & Co. as it prepares for a potential debt restructuring or recapitalization, The Wall Street Journal reported Jan. 7, citing people familiar with the matter.

The move comes as the company, previously called LightSquared, is seeking approval from the U.S. Federal Communications Commission to launch a wireless service. Ligado previously requested the FCC to modify its license to repurpose the spectrum for 5G services. However, the request was turned down after Pentagon officials, spectrum users and weather data researchers urged the FCC to say no.

In case the FCC rules against Ligado and blocks its business plans, this would be the company's second restructuring plan.

Ligado's controlling owners include Fortress Investment Group LLC, Centerbridge Partners LP and JPMorgan Chase & Co.