Clearwire Corp is scheduling a shareholder meeting on May 21 to obtain a decision regarding the offer made by Sprint-Nextel for US$2.97 per share. The financially beleaguered wireless service provider has urged its shareholders to approve of the proposed deal.
The venue for the shareholder meeting is in Bellevue Washington according to regulatory documentation filed today. The deal on the table has been approved by the board and it is advised that the said deal is in the best interest of the shareholders.
Sprint already owns a little over half of Clearwire and has offered to purchase shares it does not already own. This comes two months after Sprint-Nextel had agreed upon a capital infusion from Softbank Corp of Japan. The deal for Sprint-Nextel is worth US$20 billion to allow Softbank an entry point for expansion into US markets.
The deal is further complicated when Dish offered to purchase majority control over Sprint through an unsolicited bid of US$25.5 billion for the same shareholdings being given to Softbank Inc. The two are locked in a battle, with Softbank saying that its bid provides superior short and long term beneifits and calling the Dish bid as a 'highly conditional preliminary proposal.'
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