Tuesday, May 21, 2013

Sprint Improves Clearwire Bid, Says Its 'Best And Final Offer'

Sprint entered into an agreement to buy the remaining 50 percent of Clearwire that it doesn't already own for $2.97 per share, or around $2.2 billion. This morning Sprint announced that it's decided to up its bid to $3.40 per share, putting Clearwire at a value of $10.7 billion. Sprint says that this is its "best and final offer" for Clearwire and that it's bid is the "best strategic alternative" for Clearwire and its shareholders.
This improved Sprint bid bests the offer that Dish Network made for Clearwire in January 2013, which was set at $3.30 per share. While it remains to be seen which offer Clearwire will ultimately take, things definitely appear to be leaning in Sprint's favor. Not only does Sprint now have the higher bid, it also has the support of Clearwire's Special Committee and its board of directors. What's more, Sprint says that it's been told by Comcast, Intel and Bright House Networks that they all plan to vote their shares of Clearwire in favor of Sprint's merger. Those three companies own a total of approximately 26 percent of Clearwire.

Source: Sprint

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