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Kettle Roast

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  • Lost And Founder: Charlie Gets Dish A Higher Appraisal In Spectrum Chess Game [View article]
    Direct TV's not interested in Dish, besides DTV can do many other deals w/o the FCC getting involved over a satellite monopoly deal leaving little room for competition, also Dish messed up by not buying into Clearwire, they have to develop the spectrum aquired from the Blockbuster deal or Dish will be forced by the FTC, FCC to auction it off through a forced spectrum sale!
    Jun 30 12:00 PM | Likes Like |Link to Comment
  • Sprint (S +0.6%) raises its offer for Clearwire (CLWR +1.7%) to $5/share, well above Dish's (DISH -2%) $4.40/share tender offer. Clearwire's special committee is endorsing the offer (reversing its prior recommendation for Dish's bid), and is rescheduling a shareholder vote set for June 24 to July 8. Clearwire shares are halted; Dish's have spiked lower. Will Charlie Ergen return fire? [View news story]
    A sigh of relief that DISH is out of the picture for the folks in Kansas!
    Jun 23 07:51 AM | Likes Like |Link to Comment
  • Will Clearwire's Hard Head Hurt Its Bottom? [View article]
    I am not going to be very popular for posting this but anyways, its going to a fairy tale if anyone thinks they are going to get $4.40, $6, or even $8 a share for the Clearwire deal. The spectrum's still worthless without a player that can develop it in a professional manner and without the experience or know how it will take a very long time to do this. The player needs to understand how wavelength and frequency works even under abrupt weather patterns and energy outages. Not just how much they expect to earn from a bidding war. Short term thinking in the wireless world equates to quicker losses in the long term.
    Never mind about Wall Street analysts statement on the "PERCIEVED VALUE OF SPECTRUM",,,,,, unless they develop it correctly the whole spectrum could go to trash. Ordered sequences of patch network rollouts will ensure a smooth transition for newer wireless subscribers of the newly formed Sprint Network. Long term holders of Softbank/Sprint should expect returns of 10% maybe as high as 14% with their investments into this newer Sprint.
    Jun 19 03:29 PM | Likes Like |Link to Comment
  • Will Clearwire's Hard Head Hurt Its Bottom? [View article]
    @KCphaeton, the upside of the Clearwire stock is the following:

    Crest Financial and Mount Kellet will sell out since they came in around when Clearwire was around $1.00 - $.75/ share! Their loving this, in fact Crest Financial has a Board Chair member by the name of Bush and he's a Texan. They are in this ride. but they'll most likely sell at the cost of $3.40-3.50 a share
    Taran Assest and Gramercy Capital Investments both want around $3.40-3.50 /share for their $1 investments into Clearwire.
    Comcast, Google, and other minority shareholders in this company are voting for the large holder of the pie, Sprint.
    Charlie Ergen's gonna ride this for a while till he gets the boot from the Clearwire Board itself for trying to manipulate their charter with Sprint and in the end Sprint gonna get the whole sebang for around 3.50share. Sprint's got DISH on the violations of their shareholders Charter agreement since they have been partners with Clearwire since 2008 and have already poured close to $22billion into the buildout of Clearwire Wimax, and still need to upgrade this network into the 4G-LTE rollout , like its sister company Sprint, within the next 3 years. Ergen knows this and thats why he's making a play for n'Telos to fix the GPS interference bug with a network used within Clearwire. His bid for Lightsquared Wireless fell to the wayside because the L Spectrum is more cumbersome and expensive to develop than DISH S Spectrum holdings he acquired thru the Blockbuster deal. Its not looking cost feasible for Dish to build on their treasure trove of worthless satellite spectrum. The technology is still in infancy and so that's why Liberty Media or Direct Tv never made a play for this spectrum whereas DISH did. Foolish move, why? The S Spectrum from Blockbuster needs to be developed in the following order per their FCC licensing agreement with Ergen's DISH in 2011. 30% within 3 years, DISH must begin building and accomplish , then 70% within 7 years. In the wireless field this is not easy or done without major investment of capital. Charles Ergen is a gambler and in order to do this is impossible with his current cash flow. The cost to develop the S spectrum alone will cost $11billion dollars within the 3years alone!
    Jun 19 03:28 PM | Likes Like |Link to Comment
  • Clearwire (CLWR) officially endorses Dish's (DISH) $4.40/share tender offer, calling it in the "best interest of Class A stockholders." Clearwire's special committee now unanimously opposes Sprint's (S) $3.40/share buyout offer, and the company has rescheduled a shareholder vote on the Sprint deal set for Thursday to June 24. Dish's offer, which is subject to 25% of Clearwire shares being tendered, is now good until July 2. Even if Sprint's merger with SoftBank (SFTBF.PK) goes through, Dish's possession of a large minority stake in Clearwire gives it leverage to strike a favorable 4G network deal. (WSJ report[View news story]
    Those Clearwire Class A shareholders beware if the net fall out from under you those shares won't be much of anything. Why? The 2.5 ghz that Clearwire holds is only worth something if its DEVELOPED other than that its just fools gold.
    DISH hasn't got the experience nor money to develop this spectrum to make it worth anything, why? The DISH network is a satellite provider, not a broadband distributor, even if Charlie grabs the spectrum he won't be able to develop any of it. Why? THE FCC will have to reclassify most of DISH's current spectrum holdings from that of Satellite Wireless to that of C banded frequency, and that it the clincher, Verizon and ATT will not allow a Satellite company to just gobble of airwaves for a nominal fee, so Charlie's got his hands full, he needs Softbank's investment money to help him deliver his broadband, and Sprints Network to carry his signals, so who's foolin who? No one gets a free ride on a dollar bid difference for only 25% of Clearwire stock whereas Sprint's bidding on 49% of the remaining shares! Just do the math.
    Jun 17 02:45 PM | Likes Like |Link to Comment
  • Will Clearwire's Hard Head Hurt Its Bottom? [View article]
    Judging from the comments, I'd have to say most of the minority shareholders are hoping this bidding war keeps going but I heard most of Charlies' money coming from Verizon, and its done all hush, hush, but the fact is Sprint spent billions on Clearwire with investment money and I don't think for a minute that investors like the Mount Kellet Management, Taran Assest Management, or Crest Financial have knowledge of whats at stake. Those shares that were purchased at $1.00 or less by less large financial firms are hoping that the price meets or exceeds the $4.40 DISH bid but it ain't gonna happen folks, Sprint still controls the majority of the stock and Dish will too if the 25% vote in favor, which will leave Crest Financial fighting since they too still saw Ergen's bid as too low for them to sell out just now. Which leaves the question, what would happen if Sprint lost out and Softbank was issued the refund check of $9 billion for the Clearwire debacle, well T-Mobile would rise and so would the build out of its spectrum. DISH is too overleveraged, to amatuerish to initiate a buildout of any spectrum, that's why they hoping to be unwelcome partners within this Sprint Softbank partnership. They only see free wireless buildout and a airwave partnership deal in all this, this way Charlie gets to keep the S Spectrum he bought from the Blockbuster BK7 sale without having to drop a nickel for spectrum upgrades to his own networks wireless broadband ambitions.
    Jun 17 02:54 AM | Likes Like |Link to Comment
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