Sprint raises its bid to buy Clearwire, seeks to thwart Dish
The third largest carrier in the states felt compelled to raise its bid for Clearwire despite its ownership of more than half of the company. In addition, Sprint worked out a deal to provide Clearwire with up to $800 million in financing. In exchange, Sprint received convertible debt that could be swapped for more Clearwire stock at the below market price of $1.60 a share.
Saying that it was their best and final offer, Sprint's $3.40 offer for Clearwire now tops Dish Network's $3.20 a share. Ironically, Sprint decided to top the offer from Charles Ergen and company despite an earlier comment that called Dish's offer illusory. Clearwire's shares have consistently traded above Sprint's $2.97 offer and have stayed close to Dish's bid. By Tuesday afternoon, Clearwire added 16 cents to $3.42 indicating that stockholders expect Dish to come back with a higher bid. That might be difficult considering that the company is now rumored to be considering the purchase of LightSquared's spectrum for $2 billion.
1. JeffPom (unregistered)
Softbank wants to buy Sprint. Softbank is going to loan Sprint money to buy Clearwire so they don't let Dish buy it.
But... Dish also wants to buy Sprint.
Beginning to sound like the Suntel - AT&T - Cingular - AT&T cycle.
3. tokuzumi (Posts: 429; Member since: 27 Aug 2009)
This is like one huge real-life soap opera. These companies are acting like whiny pre-teens who aren't getting their way.
2. mydi.maus (unregistered)
come on dish out bid this sprint!!
4. lsutigers (Posts: 789; Member since: 08 Mar 2009)
Dish just needs to go away and let Sprint and Softbank merge and buy out what's left of Clear. Dish is really desperate now, first an offer for Clear, then Sprint and now Lightsquared? They are all over Sprint and their investments / partners.