Clearwire today announced that its Special Committee and Board of Directors has officially changed positions and now supports DISH Network’s $4.40 Per Share Tender Offer. The decision was a boost for Dish Chairman Charlie Ergen who is also in a takeover battle with SoftBank to take full control of Sprint.
Dish needs at least 25-percent of the company to block Sprint’s buyout of Clearwire because Sprint needs a majority of the minority shareholders to approve its plan to buyout the rest (49.5-percent) of the company it doesn’t already own. Sprint previously had said its $3.40 per share bid for Clearwire was final.
“Sprint without Clearwire is a company without spectrum to do many of the 4G things they want to do,” said Walt Piecyk, an analyst at BTIG LLC. “If you now have Clearwire recommending Dish, that’s a leg up Ergen has to buy Sprint and Clearwire.”
Earlier this week, SoftBank raised its bid for Sprint to $21.6 billion for 78 percent of the company in response to Dish’s offer of $25.5 billion.
Clearwire plans to adjourn its Special Meeting of Stockholders, which is currently scheduled to be held at 10:30 a.m. Pacific time on Thursday, June 13, 2013, without conducting any business.
The Company plans to reconvene the Special Meeting of Stockholders on Monday, June 24 at 9:00 a.m. Pacific time at the Kirkland Performing Arts Center, in Kirkland, Washington.
Related Dailywireless articles include; SoftBank Upps the Bid for Sprint, Un-Clearwire?, Clearwire Ownership Vote Delayed 2 Weeks, Battle for Clearwire, Clearwire Committee Likes Sprint Offer Best, Verizon to Buy Clear Spectrum for $1.5 Billion?, Sprint Buyout of Clearwire Fought by Crest Financial, Sprint to Buy Clearwire, DISH Proposes to Buy Clearwire, Sprint Buying Clearwire?, Sprint + Dish?, Sprint Gets Majority Control over Clearwire, Sprint Won’t Buy Clear – For Now, Clearwire Cuts TD-LTE Deployment