Tags: Sprint | Clearwire | Buyout | Offer

Sprint Raises Buyout Offer for Clearwire by 14% to $3.40 a Share

Tuesday, 21 May 2013 09:25 AM

Sprint Nextel Corp said on Tuesday it raised its buyout offer for wireless service provider Clearwire Corp. 14 percent to $3.40 per share, just hours before shareholders were set to vote on the company's original offer.

Clearwire shares rose to $3.46 in early trade after closing at $3.26 on Nasdaq.

Sprint's revised bid, which values Clearwire at $10.7 billion, follows massive shareholder pressure for a higher valuation for Clearwire. Clearwire has key wireless airwaves licenses that would help Sprint compete better.

Sprint said that it submitted the revised offer to the Clearwire board of directors and is subject to its formal approval. Clearwire said it would review the revised proposal and would adjourn its special meeting which was planned for 10.30 AM PT on Tuesday.

Sprint noted that Clearwire`s Special Committee and board have cited a Sprint deal as the best strategic alternative for the company and its minority stockholders.

In addition it said that Clearwire has received commitments from Comcast Corp., Intel Corp. and Bright House Networks, who own about 26 percent of Clearwire`s minority shares, to vote for the transaction.


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Sprint Nextel said it raised its buyout offer for wireless service provider Clearwire by 14 percent to $3.40 per share, just hours before shareholders were set to vote on the company's original offer.
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2013-25-21
Tuesday, 21 May 2013 09:25 AM
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