Dish Network Corp has stepped out of the takeover battle for Clearwire Corp, a mobile service provider. This marked the second major blow for Dish in less than a week. This also hindered the company's chairman and founder, Charlie Ergen to expand his business in the wireless industry.
On Wednesday, a decision was announced that finally put the bidding war to rest between Dish and Clearwire's majority owner Sprint Nextel Corp. The questions remained as to what options Ergen has to take after stepping out of the bidding battle. Charlie Ergen planned to expand beyond satellite TV service and take a leap into the US wirless market.
The proposed bid from Dish Network was overthrown by Sprint's offer the week before. The deal was priced at US$5 per share piece that trumped the offer from dish of US$4.40 per share. Sprint won the support of Clearwire shareholders.
Last Friday, Dish also backed out from a bigger battle to acquire the No. 3 mobile provider in the US, Sprint Nextel. This was after shareholders voted for a sweetened takeover bid from Japan's SoftBank Corp.
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