Dish gives up on Clearwire bid, paving way for Sprint's assault

Dish gives up on Clearwire bid, paving way for Sprint's assault

Summary: After a domino effect of pending acquisitions which Dish threw itself into, the broadcast satellite network is now giving up, allowing Sprint to gobble up the firm in whole.

SHARE:
TOPICS: BlackBerry
0

Twice in two weeks, Dish is giving up.

Last week, Dish said that Softbank could go forth with its attempted buyout of Sprint without any meddling on its part. On Wednesday, Dish announced that it would no longer pursue the Clearwire bid, which Sprint owns 51 percent of shares in.

In a statement, the company said its acquisition unit "is withdrawing its offer to acquire all of the outstanding shares [...] of Clearwire." The statement explained that the decision was "a result of the recent change in recommendation by Clearwire," following the board's comments last week.

Once Sprint upped its bid from $3.40 per share to $5, and included measures that would make it increasingly difficult for Dish to go after Clearwire, the abandoning of the bid was not unexpected by some.

Some analysts believe that Dish may now take a stab at buying T-Mobile USA, which recently completed its acquisition of MetroPCS. The two companies are now known as simply T-Mobile US.

Sprint will now pay about $3.9 billion to Clearwire's stakeholders, giving it 100 percent control over the company should the deal clear the regulators.

A Dish spokesperson speaking to ZDNet on the phone earlier today had no further comment to make at this time. A Clearwire spokesperson offered no comment.

Topic: BlackBerry

Kick off your day with ZDNet's daily email newsletter. It's the freshest tech news and opinion, served hot. Get it.

Talkback

0 comments
Log in or register to start the discussion