Sprint Raises Clearwire Bid to $5 Per Share

Board Sets Shareholder Vote for July 8

Sprint Nextel said it has increased its offer for the remaining interest in Clearwire it doesn’t already own to $5 per share, a 47% premium to its previous offer and 14% higher than a competing offer from satellite giant Dish Network.

Clearwire’s board of directors said it has endorsed the new Sprint bid, which values Clearwire at about $14 billion. Clearwire has rescheduled a planned June 24 shareholder vote on the matter to July 8.

"The Clearwire board and special committee have determined that the $5.00 per share transaction with Sprint represents the best path forward for the company and is in the best interest of our unaffiliated stockholders," said Clearwire CEO Erik Prusch in a statement. "The amended agreement with Sprint clearly acknowledges the significant value present in Clearwire — from our deep portfolio of wireless spectrum to the tremendous amount of progress the Clearwire team has made in improving our operations and beginning the construction of our next-generation 4G LTE network."

Sprint said the new offer values Clearwire at about $14 billion. The wireless giant also said it has received commitments from holders of 45% of Clearwire stock not affiliated with Sprint in support of its latest offer.

Dish did not immediately return a request for comment.