Clearwire Grabs $920M More Funds
Clearwire LLC (Nasdaq: CLWR) says that $920 million of new debt financing means it will have more than enough money to meet its target to cover 120 million people in the U.S. by the end of 2010. (See Clearwire Adds More Debt Financing.)
The Kirkland, Wash.-based operator revealed late Tuesday that it has raised additional debt financing just weeks after acquiring $1.56 billion in equity funding. In total, the company has raised $2.8 billion dollars in recent weeks through equity and debt financing. (See Report: Clearwire to Get $1.5B Funding Bump, Clearwire's $1.5B Top-Up Confirmed , and Clearwire: 'Google Believes in Us'.)
Clearwire said Tuesday that its Clearwire Escrow Corporation subsidiary has priced an offering of $920 million of notes. The 12 percent senior secured notes are due 2015.
In addition, a bond offering that closed Tuesday raised $1.85 billion in debt financing, due 2015. Clearwire is using the proceeds from the bond offering to pay off existing debt of $1.4 billion.
If that isn't enough, Clearwire says that it still has the opportunity to secure additional funding of up to $295 million in the rights offering to public shareholders.
— Dan Jones, Site Editor, Unstrung