For Sprint (S -0.4%) to acquire the 48% of Clearwire (CLWR +14.5%) it doesn't own, it needs the...

For Sprint (S -0.4%) to acquire the 48% of Clearwire (CLWR +14.5%) it doesn't own, it needs the support of shareholders representing over half of non-Sprint-owned shares. That could be tough without a higher bid, given activist investors Mount Kellett and Crest Financial own 14% of Clearwire, and continue to argue Clearwire is worth more. But the fact Clearwire is saddled with over $4.2B in debt and has a major 4G LTE buildout ahead of it gives Sprint some leverage. Stifel:  "It’s Sprint or nobody ... [Clearwire is] losing money hand over fist." (previous: I, II)

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Comments (5)
  • Sand Paints
    , contributor
    Comments (77) | Send Message
    Or read the opinion of Joan Lappin published today at Forbes:


    "Sprint's Hesse Underbidding For Clearwire, Still Hopes Shareholders Can Be Duped"


    It's NOT Sprint or nobody at this price. Won't be either when it's done. It might not be Sprint, it won't be a nobody, and it won't be at this price.
    13 Dec 2012, 06:30 PM Reply Like
  • mfreel1657
    , contributor
    Comments (36) | Send Message
    What you wish for and what you get might be two different things. I think Hesse has Clearwire by the short and curly's. Should be interesting next couple days.
    13 Dec 2012, 10:22 PM Reply Like
  • petepete8859
    , contributor
    Comments (29) | Send Message
    I won't sell my 10,000 shares for any less that $4!
    14 Dec 2012, 02:58 AM Reply Like
  • adamkbice
    , contributor
    Comments (157) | Send Message
    The fact that CLWR is currently trading over Sprint's 2.90/share offer is pretty good evidence that most shareholders believe it's a lowball bid.
    14 Dec 2012, 03:11 AM Reply Like
  • gainesview
    , contributor
    Comments (8) | Send Message
    Clearwire ,has one ace in the hole I believe.Through the 2nd quarter and a very huge capital partnership. Market cap more than Softbank and more stable. If times get tough they may have Clearwire's back /////////////////////////
    14 Dec 2012, 03:34 AM Reply Like
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