Marconi has said it hopes to complete its restructuring by the end of March after clearing a major hurdle with its lenders.
It has issued a statement saying it has reached settlement in principle with three banks over potential claims arising from derivatives tied to its employee share-option scheme.
Marconi says the £35 million deal with Barclays Bank, Salomon Brothers International and UBS was a "significant development" towards completion of the financial restructuring of the firm.
Payment to the three banks will be made from a previously disclosed £170 million of cash set aside by Marconi as part of its restructuring to handle potential liabilities arising from its employee share-option scheme.
Reaching an agreement should help Marconi avoid a potentially costly row with its former staff over the share options issued to employees before its collapse.
Marconi is expecting to have talks with creditor groups over the impact of the settlement on the future capital structure of the group.
In December, Marconi's bankers agreed to write off almost £4 billion of debt in return for control of the reborn company.